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inkeinspires.com > Business > The CEO trap—why 70% of CHROs depart after a change at the top
Business

The CEO trap—why 70% of CHROs depart after a change at the top

MTHANNACH
Last updated: May 20, 2025 12:07 am
MTHANNACH Published May 20, 2025
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One of the clearest signs that a director of human resources will be considered ineffective is that that the chro has no control: a change in which serves as CEO.

The quality of the Chro’s relationship with the CEO is the most crucial predictor in the way the performance of a chro will be viewed. In addition, research reveals that a leadership transition in the CEO’s headquarters has led nearly seven Chros out of 10, according to Rosanna TRASATTI, leadership and efficiency expert and CEO of the FELA Executive Leadership Advisory. TRASATTI spoke to Fortune Participants at the top of innovation in the workplace on Monday in California.

She noted that one might not think that it is so unusual for a new CEO to come and make changes to the senior team. But the results of a study on the performance factors of the chro covering more than a decade make people think.

“No other perceived performance of the chief of suite C had at the same level of dependence on the CEO,” said Trasatti.

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The other factor that divides the perceived performance of a very efficient chro and underperform?

The situations in which a chro performs HR operates with heavy processes and administrative strangles – “noise and ineffectiveness”, as Trasatti said.

“These Chros were much more likely to be assessed and who came out,” she said.

In addition to these dynamics, only 11.8% of all level C roles among S&P 100 companies are held by women. However, among the Chros, 72% are women.

Essentially, Chros, many of whom are women, face unique vulnerabilities compared to other leaders in the C Suite C, said Trasatti. Their success is disproportionately linked to a solid relationship with the CEO and they are judged on administrative operations. Add the genre dynamics to the top – Chros must ensure that the house is in order and that everyone has been nourished in order to be considered effective, as is a reference base.

However, there are ways to overcome the risks of failure, said Trasatti. Research has shown that Chros could succeed, or continue to be considered high performance, developing a business and financial sense and connecting HR measures to commercial results.

The four trasatti success factors for the Chro, based on more than a decade of research:

  1. Think like an investor. Develop your financial mastery, understand precisely how the CEO wishes to create and stimulate the value of shareholders and speak specifically about how HR strategies can oblige financial results.
  2. Direct like a CEO. Double your commercial sense and think of all individual functions or teams.
  3. Measure what matters. Create dynamic and data information on data that does not only describe what HR does but can also predict the results. For example, do not compare and contrast employees’ engagement scores. Attach the engagement scores to key areas of accelerating businesses or sales.
  4. Go forward. The highest rated Chros are considered to be agents of change. Think about how your systems can become a mobilization force to lead or help in cultural or commercial iteration.

This story was initially presented on Fortune.com


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