Disney's Succession Planning: Gorman Takes the Helm

In a move to secure its future leadership, Disney has appointed Morgan Stanley Executive Chairman James Gorman to lead its succession planning committee. Gorman, who joined Disney's board earlier this year, brings a wealth of experience in succession planning, having overseen the process at Morgan Stanley. He currently serves as the company's executive chairman after several years as its chairman and CEO. This decision comes two years after Disney's longtime leader, Bob Iger, returned from retirement following a tumultuous transition to his hand-picked successor, Bob Chapek. Iger's return was marked by a two-year contract to redirect Disney's trajectory and find a new chief executive. However, in July 2023, Iger agreed to a two-year contract extension, keeping him at Disney through the end of 2026. Since his return, Iger has achieved some notable successes, such as the first profit for Disney's streaming service. However, the company has faced challenges in bringing stability back to its parks division. Recently, Disney cautioned that it has seen moderation in demand at its global theme parks, a trend that may persist for the next few quarters. Aside from Gorman and Disney Chairman Mark Parker, board members Mary Barra and Calvin McDonald will continue to serve on the succession planning committee. The committee, along with the company's board, are considering both internal and external candidates. Internal candidates are undergoing a preparation process that includes mentorship from Iger, external coaching, and engagement with all board members. With Gorman at the helm, Disney's succession planning committee is poised to find a worthy successor to Iger, ensuring the company's