August 6, 2015
Each day more and more baby boomers give up their association CEO responsibilities for retirement. Even when this process is planned for and orderly, it has a major impact on the association’s volunteer leadership. But when succession planning comes about as a result of death or disability, the results can be devastating. Especially in small to medium sized associations where there is not a likely candidate to take over, volunteer leaders may have to step in for some period and deal with not only all the details of association management and searching for a successor but also with taking care of the former CEO’s estate or disability coverage.
Associations managed by association management companies (AMCs) are typically more fortunate when a CEO is suddenly gone. First of all there is the obligation that the AMC, not just one individual, has to serve and grow the association. AMCs are constantly training and moving future leaders through effective career paths. So if a CEO individual leaves or is taken out of action, the AMC managed association has not only seasoned individuals working on their organization ready to move up, but also other alternatives for succession among the AMC’s senior brain trust. And because AMC managed associations have no direct employees it is the responsibility of the AMC to take care of any individual benefits due to the departing CEO or his/her estate.