• How-to

The talent of transforming an idea into a business comes naturally to an entrepreneur but the skill to manage day-to-day affairs of a company and take it to the next level is not something which everyone has. Sometimes getting involved in the day-to-day affairs may impede the founder’s creativity. Here, getting a CEO to run the business is a prudent thing to do.

Getting a search firm
At times the board members might just be too busy to get involved in the hiring process. So, if a company wants the search spectrum to be broad or has a long list of candidates, getting a search firm to do the job may prove beneficial. At times investors of startups also suggest CEOs but getting a search firm to do the job is a better idea as these firms are well networked, keep a track of vacancies and people willing to move out and also know the background of candidates in question. One may go for a small, boutique firm that focuses on a particular market segment. Partners at these firms tend to do all the work themselves rather than delegating it to the less experienced associates. Nevertheless, the fact that an entrepreneur might have to run many checks himself cannot be discounted.

Eyeing the right skills
While there are many quantitative measures to judge the effectiveness and efficiency of a candidate, importance should be given to softer and qualitative attributes. Life in a startup is not easy and one can expect plenty of upheaval in day-to-day working. Someone who is calm, composed, inspiring, holds high integrity and can help stabilize the business will perfectly fit the bill. While presentations and past performances can help gauge a candidates worth, informal discussions will reveal finer details.

The process
 Determine the key values that the new CEO must have to take the company to the next level and compliment the skills of the founder.

 A preliminary assessment of competency, skill and knowledge can be made for all potential candidates.

 Have a team comprising board members and interview candidates in depth to check competency and behavior.

 Deliberate the results of interviews to determine the best person for the job.

©Entrepreneur October 2011