If a board of directors brings in an outsider to lead the company, what message is it sending to the shareholders and employees?
A) That all the internal candidates are not proficient.
B) That the old way of doing things is going to change.
C) That the performance review process is inadequate.
D) That the internal candidates are all new as well.

Question

Quizplus · Accepted Answer

Bringing in an outsider to lead the company signifies that the board of directors is ready to change the old ways of doing things and embrace new strategies for the company's growth and development. It gives a clear message to the shareholders and employees that the board is willing to take calculated risks in order to improve the company's performance. It does not necessarily mean that all the internal candidates are not proficient or that the performance review process is inadequate. The internal candidates may have been considered but were found lacking in some way or the company may have just wanted fresh perspectives and ideas that an outsider could bring. The answer D is not relevant to the question.

If a Board of Directors Brings in an Outsider to Lead