MGST 451 QUIZ 2 EXAM 50 QUESTIONS WITH
VERIFIED ANSWERS
not a lot of candidates with the right skill set
It is difficult to evaluate the executive skillset in a job interview
its a very demanding and high stakes job
CEOs exhibit higher than average cognitive and non cognitive ability and
emotional and psychological stability - CORRECT ANSWER Why is it so hard to find
a great new CEO
never been a ceo before - CORRECT ANSWER Internal candidates
might have previous ceo experience - CORRECT ANSWER external candidates
70-80% - CORRECT ANSWER What % of internal promotions are all new CEO hires
Less expensive than hiring externally
great in times of company stability
quicker on boarding
shows stability within the company
On average internal ceos tend to outperform external hires - CORRECT ANSWER
What are some pros to internal hiring a new ceo
No previous ceo experience
Need to commit to the plan in advance, and commit to clear timelines
, brings more of the same thing, likely will not drive significant change - CORRECT
ANSWER what are some cons to hiring internal ceos
company promotes. a leading candidate to position of president/CEO
Responisbilities need to be clearly defined (same person, new bigger job)
Risk of becoming. a lifetime COO if left in the role for too long - CORRECT ANSWER
Internal CEO promotions ~ Hier apparent
Company promotes 2 or more internal candidates to high level operating positions
who compete to become ceo
no advance commitment to a specific person
highly public and brings extra pressure and media attention
creates internal factions who advocate a favored candidate
precipitates a brain drain when loser resign - CORRECT ANSWER Internal CEO
promotions ~ Horse Race
hire externally but now more companies hire externally even if the companies
performance is good - CORRECT ANSWER What was the traditional route to hiring
a ceo when compnay is in financial trouble
Best if needs/ wants of company change (new direction strategy)
Candidates often have previous ceo experience
no previous work baggage to bring to the new job - CORRECT ANSWER what are
the benefits of hiring externally
VERIFIED ANSWERS
not a lot of candidates with the right skill set
It is difficult to evaluate the executive skillset in a job interview
its a very demanding and high stakes job
CEOs exhibit higher than average cognitive and non cognitive ability and
emotional and psychological stability - CORRECT ANSWER Why is it so hard to find
a great new CEO
never been a ceo before - CORRECT ANSWER Internal candidates
might have previous ceo experience - CORRECT ANSWER external candidates
70-80% - CORRECT ANSWER What % of internal promotions are all new CEO hires
Less expensive than hiring externally
great in times of company stability
quicker on boarding
shows stability within the company
On average internal ceos tend to outperform external hires - CORRECT ANSWER
What are some pros to internal hiring a new ceo
No previous ceo experience
Need to commit to the plan in advance, and commit to clear timelines
, brings more of the same thing, likely will not drive significant change - CORRECT
ANSWER what are some cons to hiring internal ceos
company promotes. a leading candidate to position of president/CEO
Responisbilities need to be clearly defined (same person, new bigger job)
Risk of becoming. a lifetime COO if left in the role for too long - CORRECT ANSWER
Internal CEO promotions ~ Hier apparent
Company promotes 2 or more internal candidates to high level operating positions
who compete to become ceo
no advance commitment to a specific person
highly public and brings extra pressure and media attention
creates internal factions who advocate a favored candidate
precipitates a brain drain when loser resign - CORRECT ANSWER Internal CEO
promotions ~ Horse Race
hire externally but now more companies hire externally even if the companies
performance is good - CORRECT ANSWER What was the traditional route to hiring
a ceo when compnay is in financial trouble
Best if needs/ wants of company change (new direction strategy)
Candidates often have previous ceo experience
no previous work baggage to bring to the new job - CORRECT ANSWER what are
the benefits of hiring externally
