- by Sophie Pinkoski

Any leadership transition is going to be an adjustment for everyone involved. The outgoing leader’s wellbeing leading up to their departure can often be fraught with unexpected emotions that can become disruptive when left unchecked. The complexity of their emotions, however, is not dissimilar to that of their successor. Both are entering into uncharted territory––a new, unpredictable phase in their lives. The unknowns that come with a departure or retirement and taking on a new leadership role come with intense emotions that take work to unpack. The outgoing leader may grapple with a sense of grief when saying goodbye to a role that shaped a significant portion of their identity for so long. Meanwhile, the incoming leader must navigate the overwhelming pressures of proving themselves within their first 100 days on the job. According to a Harvard Business Review study, pressures put on new leaders mean 2 in 5 CEOs fail within their first 18 months, and 7 in 10 often feel adequate in their new role.

The more involved the outgoing CEO can be within the transition process, the more likely both leaders can manage their individual emotions in a healthy way.

It has, in fact, been found that if a CEO can be there to walk their successor through what they can expect, the new CEO is far more likely to experience a long, successful tenure. Here are some ways outgoing and incoming CEOs can manage the emotional challenges of a leadership transition together:

Embracing vulnerability––One of the hardest things for a leader to learn is to share their thoughts and feelings with their team. While not everything needs to be presented for all to see, honesty goes a long way when it comes to building trust and authenticity in your leadership. It can be incredibly uncomfortable to sit with the fear of losing control when putting yourself out there for others. On the one hand, a new CEO has something to prove and everything to lose. On the other, an outgoing CEO is facing the end of an era, and with it, the loss of their authority. Both can learn to embrace these moments of discomfort to feed their personal and professional growth.

Many times, the most uncomfortable choices you make often become the most impactful.

Emotional intelligence––Of course, there are plenty of practical ways to keep uncomfortable feelings from becoming too overwhelming. Whether at the beginning of your tenure or the end, it's tempting to make emotionally charged decisions while in a state of flux. Developing your emotional intelligence helps you take a step back and assess whether your emotions are helping or hindering you from making the best decision for your organization. New leaders can fall into one of two traps: analysis paralysis from seeking out too much information to validate their choices, or gut reactions leading to impulsive decisions. Meanwhile, an outgoing leader might make illogical decisions in a self-preservation grief response.

Emotional intelligence can help you recognize your emotional patterns and triggers to prevent them from disrupting the transition process.

Fear of failure––Fear of failure is an incredibly human trait to have. It’s an emotion we all experience frequently in our lives. In the context of leadership transition, both outgoing and incoming leaders fear making the wrong decisions. For an outgoing leader, it’s anxiety over making the wrong decision in leaving and selecting the new leader, thus putting the organization in potential jeopardy. The uncertainty of their new life once they leave their role can be equally anxiety-inducing. Incoming leaders, in comparison, experience pressures that come with selecting the right priorities and strategies to address them. It takes careful work to earn buy-in from the board, team, and stakeholders while still establishing your authority, and unfortunately, it's impossible to make everyone happy. With these heavy decisions weighing on their shoulders, it’s tempting for leaders to delay their choices. After all, individuals tend to feel more regret for making the wrong decision rather than not making one at all. Yet delaying the inevitable is simply a short-term solution to a much bigger challenge. Even so, failure is a testament to your resilience and willingness to experiment with new ideas.

At the end of the day, no matter how frightening failing can be, each time you fail is an opportunity to learn and grow.

Mentorship––Keeping the outgoing leader involved in the transition process is a valuable opportunity for them to share their unique perspective on the role. No one knows the emotional journey the incoming leader is about to embark on better than the outgoing CEO. Having someone who has been through it before to walk you through the biggest complexities of the job helps a great deal in building confidence and assuaging any lingering doubts. When the outgoing CEO can do a formal handover and teach the new leader how things are done, both sides can rest easy, knowing the organization will be in capable hands.

Leadership transitions can be an isolating experience, but no one understands that better than the outgoing CEO. By staying involved in the process—not only by offering operational insights, but by guiding the emotional journey—outgoing leaders help set their successors up for success. Imparting wisdom about the emotional complexities of the role means they hand over more than just a title; they pass on a legacy too.

Further Reading

The Vital Role of the Outgoing CEO, Harvard Business Review

How Can First-time CEOs Manage Stress Effectively?, Training Journal

How CEOs Build Confidence in Their Leadership, Harvard Business Review

Power, Influence, and CEO Succession, Harvard Business Review

Emotional Fortitude: The Inner Work of The CEO, Deloitte

The Leap to Leader, Harvard Business Review