LAST Wednesday's ST Interview, 'Know when your time is up', painted a skewed concept of enduring corporate leadership. As we appraise corporate leadership, we may unwittingly link effectiveness with a compressed performance timeline. That does not preclude the fact that lasting corporate leadership cannot exist today.

Insead dean Frank Brown's view that chief executive officers should relinquish their responsibilities by the end of the fifth year is a populist approach to deny a CEO the continuance of his term as long as he is effective. We should not worry about weak leaders. They will not last.

Time should not be the sole factor in crafting the right formula for lasting corporate leadership. Tenacity or stamina, which a competent leader has and a weak one does not, should be factored in as well.

An effective CEO, unfettered by time constraints, has certainty on his side. He takes the long-term view which transcends time and heightens the confidence of employees, customers and suppliers. A visionary leader holds the organisation together, despite tough times.

By contrast, a five-year tenure championed by Mr Brown can lead to undue pressure to appear successful, though that may not be the case. A fixed-term limit can also perforate confidence in leadership and company. A seat-warming CEO cannot earn the trust and respect of business partners, employees and customers.

George Lim

This article was first published in The Straits Times.