In times of particular instability, one of the most frequent questions we receive in our executive search practice is how to retain key executives. The reflection is pertinent because, ultimately, understanding what retains an executive means understanding what drives them to leave—and that is precisely the core of our work as headhunters.
Every person bets on a change when their expected results are better and positive for their personal goals. Executives and entrepreneurs are identical in this regard: both are capable of analyzing future scenarios and making decisions today to achieve a favorable outcome tomorrow.
An entrepreneur invests savings expecting superior returns. Why would we expect an executive to reason differently when it comes to investing their most precious capital: their time and knowledge?
Unlike money, which can be accumulated and even passed on to heirs, an executive's productive life inexorably fades with time. For this reason, career decisions are usually made with great seriousness. Yet we still hear the argument of supposed “disloyalty” when an executive changes jobs—a mindset that belongs to the mid-twentieth century.
In our executive search practice, the hardest question to answer for executives evaluating a job change is precisely about their career path and their possibilities for personal and professional improvement. Improvement does not refer solely to a salary increase: it means learning new things, broadening potential employability, and eventually accessing positions of greater responsibility.
When an executive perceives that their professional future within the organization is unclear, they become a natural candidate to be attracted by another company. That is the precise moment when headhunting firms find the most receptive professionals.
From my personal corporate experience as CEO and as a supervisor of C-suite positions, I have found that success achieved at a given moment in one's career is the best retainer. In formal, well-established companies, success brings personal satisfaction, recognition, positive feedback, and improvement expectations that, while not always explicit, are evident to the executive.
Providing all the resources for management success, maintaining open and bidirectional contact with supervisors, and offering genuine recognition for achievements—these are the fundamental components of retention.
Well-structured companies provide periodic feedback to their executives, recognizing goals met and pointing out areas for improvement. That is the traditional approach. But why not also formalize the reverse path: periodically listening to the executive's opinions, observations, and suggestions for improvement directed at the organization?
A formal reverse feedback exercise generates a greater sense of belonging. It allows supervisors to explain why certain suggestions cannot be implemented, or to highlight the best ideas by putting them into practice. Throughout my professional life, I have seen labor satisfaction indicators grow significantly thanks to this reverse dynamic. It is a far more meaningful mechanism than any forgotten suggestion box.
Our key executives stand out for their analytical capabilities. The more valuable they are to the organization, the more likely they are to be contacted with the best opportunities in the job market. Retention is achieved when the executive perceives they can invest their professional capital with the confidence of obtaining significant returns: growth, recognition, and a clear future.
The question every organization should ask is not “How do I prevent them from leaving?” but rather “What am I offering them to make them want to stay?”
