A Persistent Bad Idea

The idea of co-CEO’s seems to be gaining momentum as another new economy company adopts this practice. Spotify, the digital music streaming service, is joining Netflix, Oracle, and Comcast in using the model. Despite notable failures—Chipotle, SAP, and BlackBerry come to mind—the concept of co-leaders appeals to many board members we encounter in the education sector. Almost always, supporters on the board say that the role is too complex, with both academic and business demands, for a single leader.

We remain unconvinced. It might work in rare, specific cases with the right mix of people and circumstances, but it appears problematic as a model for widespread use. For one thing, it breaches Elliott Jaques’ single point of accountability requirement, which is a key part of the psychology of leadership. 

If two people are genuinely sharing this work equally, Jaques would argue they're either:

1 Duplicating effort (inefficient and wasteful);

2 Operating at different levels (meaning one is the real CEO and the other is actually at a group executive or COO role); or

3 Creating decision-making paralysis by requiring consensus at the highest level.

Again, this might work in specific situations, but be careful about relying on it as a common model.