Trends in CEO succession in Australia’s biggest public companies

This graphic summarises the trends in CEO succession in Australia’s biggest public companies.

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Australian Chief Executive Study
In 2013 Strategy& continued to examine CEO turnover and looked at women CEOs of the last ten years.

The 2013

MEN continue to dominate the incoming CEO class

2013 incoming CEO class

96%
(2004-2013)

6.7% 2.2%
2012 2013

Women on Boards*

Appointment of Australian women CEOs is in decline, while the number of women being appointed to Boards is increasing
Women CEOs

45

male

1

13.9%

15.8%

2012

2013

* Women on Boards - Boardroom Diversity Index report, 2013

Women CEOs differ from their male peers in that they are more often outsiders...

Australia

Global

Australia

42% 35% 58% 65%

22% 39% 61%
Insider

Global

78%
Outsider

... and are more likely to be forced out of office
Australia

Retention of Australian women CEOs is also in decline

27%

27%
forced out

23%

21%
forced out

46%

56%

4.3%
2004-2008

3.1%
2009-2013

Global
11%

38%
forced out 60%

13%

27%
forced out

51%

and trending more negatively than the rest of the world

Outgoing CEO succession reason (2004-2013) Forced Planned M&A

Top performing Australian companies are increasingly appointing more incoming CEOs from within their ranks who continue to perform better than outsiders
Incoming CEOs: INSIDERS

60% 43% 48% 50%

67%

Insider CEOs Performance

$

Higher shareholder returns 1

2009

2010

2011

2012

2013

Best annualised returns

16%

of Australian ASX200 CEOs left office in 2013
up from 15% in 2012

4.3
years in office

Median tenure of outgoing CEOs has declined
lower than the global median in 2013 (5 years) and Australian median since 2006 (5 years)

To learn more, visit: www.strategyand.pwc.com/chiefexecutivestudyanzsea
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female