JOURNAL ARTICLE

LEADING After the FOUNDER.

  • Published In: Harvard Business Review, 2026, v. 104, n. 1. P. 56 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Hellauer, Samantha; Kos, Sanja; Vermoote, Julie; Werner, Sapna Sadarangani; Wright, B. J. 3 of 3

Abstract

The article focuses on the complexities and critical importance of founder transitions in companies, highlighting that founder-CEO handovers are more prone to failure than other leadership changes. It emphasizes that successful transitions require early, intentional planning involving founders, successors, boards, and investors, with attention to timing, role definition, and cultural dynamics. Various transition models are discussed, including founders moving to chairperson, adviser, functional roles, or exiting entirely, each with distinct challenges and benefits. The article also outlines key qualities successors need—such as humility, cultural empathy, and stakeholder savvy—and common pitfalls to avoid, stressing that founder transitions are as much psychological as organizational processes. Properly managed, these transitions can enable sustained growth and preserve company culture, while mishandling them risks destabilization and loss of value.

Additional Information

  • Source:Harvard Business Review. 2026/01, Vol. 104, Issue 1, p56
  • Document Type:Article
  • Subject Area:Business and Management
  • Publication Date:2026
  • ISSN:0017-8012
  • Accession Number:189870413
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