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When organisms require the same limited resources within an environment, they may have to compete for them. Competition is a net-negative interaction. Even if two competing individuals or populations do not interact directly, the overall fitness of both competitors is lowered as a result of not having full access to the limited resource.Intraspecific competition, which occurs between individuals of the same species, serves as a natural mechanism for regulating population size. Too much...
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The new road to the top.

Peter Cappelli1, Monika Hamori

  • 1Center for Human Resources, University of Pennsylvania's Wharton School, Philadelphia, USA. cappelli@wharton.upenn.edu

Harvard Business Review
|February 9, 2005
PubMed
Summary

Executive careers have transformed, with today's Fortune 100 leaders being younger, more diverse, and faster-rising. Career paths now emphasize external moves and performance, shifting from traditional "academy company" training.

Area of Science:

  • Business Administration
  • Organizational Behavior
  • Sociology of Work

Background:

  • Executive career paths in large corporations have historically followed predictable trajectories.
  • The composition and progression of top executives in Fortune 100 companies have been subjects of anecdotal observation.

Purpose of the Study:

  • To quantitatively analyze the changes in the characteristics and career paths of top executives in Fortune 100 companies between the 1980s and 2001.
  • To identify key shifts in executive demographics, career progression, and the influence of different types of firms.

Main Methods:

  • Comparative analysis of executive data from Fortune 100 companies in the 1980s and 2001.
  • Quantitative assessment of executive age, gender, educational background, career speed, and job mobility.

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Main Results:

  • Executives in 2001 were younger, more female, and less likely to have elite educations than their 1980s counterparts.
  • Career progression to the top was faster, involved fewer intermediate positions, and included more inter-company moves.
  • Growing firms offered advantages, while established "academy companies" provided extensive training and development.
  • Female executives, though scarce, reached top positions faster and younger than men.

Conclusions:

  • Significant transformation in executive careers and demographics has occurred, driven by factors favoring growth firms and external mobility.
  • The traditional "academy company" model may face challenges as performance in growing firms and entrepreneurial ventures becomes more valued.
  • Future executive advancement may increasingly depend on demonstrated P&L performance, potentially reversing talent flow from large to smaller firms.