Forcing the succession issue at Morgan Stanley

We've noted that a lack of succession planning has really come back to bite Merrill Lynch and Citigroup. Fresh from an announcement of $3.7 billion in writedowns, John Mack, CEO of Morgan Stanley, is in the uncomfortable position of having to designate his own replacement should he be ousted someday. But that's what succession planning is all about; it used to be a must-do for all CEOs. According to the New York Times, Mack has made clear he views Zoe Cruz as his successor. Her reputation has not been harmed by the credit fiasco, and she's been one of his top dogs since he arrived. Certainly, it's getting a bit dicey for Mack. The recent trading snafus have been painful. And S&P just downgraded its debt. Other candidates might include Walid Chammah, head of the European and Middle East operations, and James Gorman, of the brokerage division.  

For more:
- here's the New York Times article

Related articles:
- And now it's Morgan Stanley's turn
- Whatever happened to succession planning?

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