CEO departures from companies listed in major global financial indices declined by 14.4 percent during the first half of 2026, recording the lowest level for this period in nine years, at a time when data showed the increasing reliance of major American companies on internal promotions to assume senior leadership positions.
A study issued by the global management consulting firm Russell Reynolds Associates, within its global index of CEO changes, revealed that 101 departures were recorded during the first six months of the year, compared to 118 cases in the corresponding period of 2025, while the number of new appointments reached 130 appointments, close to the average of the past nine years of 129 appointments.
The index covers companies listed in 13 major financial indices around the world, and does not include all companies or global markets.
The results showed an increase in the average tenure of departing CEOs to nine years, compared to 6.6 years during the first half of last year, which is the second highest average for this period since monitoring began.
In an indication of the increasing use of previous leadership experiences, it was found that 30 CEOs out of 130 newly appointed, equivalent to 23 percent, had previously led listed companies, which is the highest percentage recorded in nine years.
This trend was more evident in the companies listed in the US Standard & Poor’s 500 index. 34 percent of the new CEOs had previous experience leading listed companies, while 88 percent of the appointments came through internal paths, which included the promotion of executive officials and the transfer of board members to the position.
The results indicate that boards of directors are interested in continuity of leadership and planning for executive succession, although the data do not prove a direct causal relationship between decreased departures and improved corporate performance.
With regard to Saudi Arabia, the study believes that the expansion in the size of institutions and the complexity of their organizational structures, in conjunction with the implementation of “Vision 2030” projects and the growth of the private sector, reinforces the need to develop institutional plans for the succession of executive leadership and ensuring continuity of management.
She points out the importance of early preparation for the transition of leadership responsibilities, by preparing internal competencies and developing them according to long-term plans, in a way that supports companies’ ability to keep pace with expansion and achieve sustainable growth.
Nicholas Manset, head of the Middle East region at Russell Reynolds Associates, said that the most important lesson for Saudi companies is not to prolong the tenure of leaders in their positions, but rather to develop qualified cadres and clear paths for leadership succession, while preserving the option of seeking external expertise when needed.
Saudi Arabia has become Marriott International's fastest growing market in the Europe, Middle East and Africa region, with the company's current portfolio and projects under development exceeding 100 hotels, at a time when the tourism and hospitality sector in the Kingdom is witnessing rapid expansion driven by investments and the development of new destinations.
Ahmed Hazin, Regional Vice President of Marriott International in Saudi Arabia, Bahrain and Egypt, said that the company is observing a clear growth in the demand for hotel accommodation in the Kingdom, coinciding with the expansion of hospitality options and the entry of new tourist destinations into the market.
Hazin added that the opportunities available to the hospitality sector are no longer concentrated only in major cities and destinations, but have extended to emerging regions and destinations that attract increasing numbers of travelers from inside and outside the Kingdom.
He pointed out that investments in infrastructure and the development of new tourism destinations and projects have contributed to reshaping the travel and hospitality market since the launch of “Saudi Vision 2030,” which prompted international hotel companies to increase their investments and expand their networks in the Kingdom.
Marriott's plans reflect the size of the growth witnessed by the Saudi market, as its current portfolio and projects under development include more than 100 hotels, distributed between existing and emerging destinations, with the company moving towards providing hotel brands and experiences targeting different segments of travelers.
The expansion of hotel capacity coincides with the increasing importance of tourism as part of plans to diversify the Saudi economy and develop new destinations and projects, in addition to the Kingdom hosting an increasing number of sporting, entertainment and cultural events and international conferences, which enhances the demand for accommodation and hospitality facilities.
The expansion is not limited to adding hotels, as the company believes that the growth of the sector requires, in parallel, an increase in the number of qualified national talents to work in it.
In this context, Hazin said that Marriott is working to develop Saudi talent through the “Tahseen” program, which extends for 12 months and combines practical experience, leadership training, and applied learning in various hotel departments. With the aim of providing professional paths for national talents as the sector expands.
The company also seeks to increase its connection with the local market through the “Marriott Bonvoy” program, and has entered into partnerships with “American Express” and Al Rajhi Bank to launch hotel credit cards in the Kingdom that allow customers to collect program points from daily spending and benefit from them in hotels and related experiences.
Hazin had previously confirmed, on the sidelines of the 96th Saudi National Day, that the occasion represents an opportunity to celebrate the transformation the Kingdom is witnessing and the changes brought about by “Saudi Vision 2030” in the tourism and hospitality sectors, stressing that “Marriott International” intends to continue expanding its presence and working with its partners to support the growth of the sector and keep pace with the development of tourist destinations in the Kingdom.
McLaren Motors announced its return to the Saudi market, through a partnership with Mohammed Yousef Naghi Motors Company, which will represent the British brand in the Kingdom and provide sales and after-sales services.
The company said that “McLaren Riyadh” will become the authorized agent for the brand in Saudi Arabia, after completing the required registration and licensing procedures, in a step that comes within the company’s strategy to expand its presence in major markets and strengthen its operations in the Middle East region.
The agreement returns McLaren to one of the major car markets in the region, in light of the expansion of the luxury and sports car market in the Kingdom, and the increasing interest of international companies in strengthening their presence in the Saudi market.
Cesar Habib, regional director of McLaren Automotive in the Middle East, Africa and India, said that Saudi Arabia represents a “very important market” for the company, and includes a wide base of its customers and fans of the brand.
He added that the appointment of McLaren Riyadh represents an important step in the company’s regional growth plans, by strengthening its presence in the Kingdom and developing the services provided to customers and owners of its cars.
Habib continued: “In cooperation with (Mohamed Yousuf Naghi Motors Company), we look forward to consolidating the position that (McLaren) enjoys in the market, and providing an experience to its car owners that keeps pace with the aspirations of our customers, and meets the high standards they aspire to.”
Under the partnership, Mohammed Yousef Naghi Motors Company will supervise the various stages of dealing with customers in the Kingdom, starting with car sales operations, all the way to after-sales services.
For his part, Mohammed Yousef Naghi, Chairman of the Board of Directors of the Mohammed Yousef Naghi Motors Company, said that the company is looking forward to starting a new phase with McLaren in the Saudi market.
He added that the British brand is known for its performance, engineering and innovations in the sports car sector, indicating that the company will focus on the services provided to customers during the various stages of car ownership.
McLaren's return to Saudi Arabia comes as part of the company's drive to enhance its spread in the Middle East markets, and to benefit from the demand for sports and luxury cars, with the continued expansion of international car companies in the Saudi market.
