We're familiar with the kind of hype and interest that can surround a young CEO. Everyone wants to be connected to the young "whiz kid" type that can sweep in and turn a startup into a multi-million dollar success.
But according to a paper recently written by academics Dirk Jenter and Katharina Lewellen, the average company may be best off with someone more mature in years to guide them. And the exact age matters.
After looking at the performance of companies in the midst of an important merger, the authors of the study found that one age in particular, 65, seemed to be ideal for making sure that such a partnership goes smoothly.
Why 65? This happens to be a key time for CEO tenure to end, as many who have reached this age will be looking to retire. It's the most likely age for this to take place between 50 and 70. However, this actually can be an asset, according to Jenter.
"We have no evidence whatsoever that the deals by 65-year-olds are bad deals," Jenter told Quartz, an online news source. "Their deals look as good as the deals by the younger guys. So the real question is, why aren't the younger guys doing more deals like this?"
Because mergers or takeovers are vulnerable times for corporations, a proper CEO should already be in place and prepared to take on the challenge. Executive recruitment services can help your business look for the person who can deliver the results you need.
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