In the middle of our eighteen-month exit preparation, our long-time Chief Technology Officer has checked out and mentioned wanting to take a sabbatical or transition to a part-time advisory role. How do we handle this transition without disrupting our sale?

Question

Tyler Smith · Accepted Answer

When a key leader loses their passion in the middle of an exit process, you must act quickly and decisively. Trying to force or bribe them to stay fully engaged when they no longer want the seat is a losing battle that will ultimately damage your due diligence and team morale. Apply the GWC tool to your Chief Technology Officer. He has checked out, which means he no longer has the Want It for this highly demanding seat during a critical time. You must accept this reality and begin a structured transition immediately. Work with him to design a transition plan that protects the business. Since he wants an advisory role, move him out of the CTO seat on the Accountability Chart and into a temporary technical advisor seat with clearly defined, limited deliverables. This keeps his institutional knowledge accessible to potential buyers while removing him from daily operations and decision-making. Next, identify who will step into the active CTO seat. If you have built leadership redundancy, you may have an internal successor who can step up. If not, you must hire a fractional or interim CTO immediately who excels at exit preparation. Be open and honest with your investment bankers and prospective buyers about this transition. Presenting a clean, proactive succession plan looks far better to a buyer than attempting to hide an unmotivated, checked-out executive during management presentations.