The Meaning and Significance of a Horse Race
Horse race is the term used for a racing event which has been a popular and enduring tradition in civilisations around the world since ancient times. It is a competitive sport in which riders ride horses through a prescribed course and jump hurdles. The horse is declared the winner when the jockey crosses the finish line first.
In order to understand the meaning and significance of a horse race, it is important to look at the history of the sport. Archeological records indicate that horse racing occurred in Ancient Egypt, Syria, and Babylon.
In the modern age, a classic succession “horse race” pits two or three senior executives against each other. Depending on the organization, these races can serve as a motivating factor for employees and can be used to identify the best leader in the company. But many directors fear that the protracted succession race may derail business momentum.
To choose the best leader for the company, the board should consider a number of factors. This includes the board’s culture, organizational structure, and the capabilities of the senior leadership. For example, the board should determine whether the winner is a good fit for the organization and, if not, should find ways to minimize the disruptions to the organization.
Moreover, the board should also ensure that the winner of the race is a good fit for the company’s organizational structure and strategy. For example, if the organization is focused on resource sharing, it should ensure that its strategy is in line with this approach. If the company is focused on developing high performers, the board should ensure that it has a variety of internal candidates for the top job.
Choosing the most qualified leader for the company is a critical business decision. A successful company will create a culture of competition for the top position, and will cultivate its best future leaders. When overt competition is shown, it shows the board’s faith in its people and management.
A horse race can also bring numerous benefits to the organization. Firstly, it gives the executive team and employees a sense of accountability for the company’s performance. Second, it provides an opportunity to promote the character of the candidate. Third, it can bring an opportunity for a discussion about a pressing issue.
Other benefits of a horse race include the ability to spot potential stars early. As a result, these individuals can be groomed in succession of critical roles in the company.
In fact, this strategy has been widely adopted in big companies like General Electric, which has been known to produce a string of excellent leaders. Even if the current CEO does not feel comfortable with this approach, a horse race can provide an opportunity to determine the most qualified leader for the job.
Lastly, a horse race can help the organization achieve its goals by establishing a culture of competition for the top position. Many companies have benefited from this process.