Barbara Marchetti: As trend-setting as fashion and retail are, oftentimes their internal process as it relates to talent acquisition is somewhat outdated. There's a heavy reliance on industry insiders, and for specific roles that's appropriate, but as companies continue their brand building and go from one area to another, they need to be able to bring in intellectual capital from outside.
If you compare fashion to other industries, there is more turnover at the executive level than you might see in other industries, which is not to say it's good or bad, it's just a fact. Fashion companies, like in many other industries, are also losing their tribal story - the philosophy that comes with the genesis of the company. Some still have it - you see high profile firms where the designer is the chief executive officer and that legacy still remains, but for a lot of fashion companies, the tribal story is gone.

Barbara Marchetti: Several fashion houses have been revolutionized by the acquisition or redirection of talent. Prada was a staid leather goods firm until 1978 when Miucca Prada inherited the business from her mother. She brought her husband Patrizio Bertelli, who owned a successful manufacturing business, on as ceo and they completely revitalized the brand. Prada SpA is now one of the most successful and well-regarded corporations in the business.
Also, look at Gucci, which was dead in the 80s - the Parfums division was outselling all other divisions. The wholesaling business launched in the late 70s had brought the brand to over a thousand stores in the United States alone with the accessories, completely destroying its cachet. In 1989, Dawn Mello was brought on to head the newly formed Gucci Group as Creative director. Domenico De Sole, the lawyer who helped oversee Maurizio Gucci's takeover of the family firm and subsequent buyout was installed as head of Gucci America. Tom Ford was brought on in 1990 and Gucci ended the decade with its highest sales figures ever.

Barbara Marchetti: You're looking for someone who can lead, get things done through other people, please shareholders, please constituents, and be very clear about mission. It is very much the same as with any organization ý what's different is that they need to be able to navigate through unseen waters, whether it's a poorly received launch, or just general changes in the industry. In fashion, you're only as good as your last season. In a healthcare company, you aren't under the same pressure to recreate your product every quarter. I think that is what is so unique by being a senior executive in fashion ý you need to be able to increase stability and focus while the product line is constantly changing.

Barbara Marchetti: You've got to look inside the industry, but you also have to look at industries that complement fashion and retail. It's very hard to say that a ceo for a large apparel company or a couture organization should be from X place. It's about who can maintain brand integrity while still operating the company to sustain growth. So you don't necessarily have to have people that are industry insiders. There's no one size fits all approach. Fashion companies are far more accepting these days of bringing in people from outside of fashion, such as someone who has launched a brand overseas or has proved they can navigate through changes, whether or not it was a fashion brand. It's indicative of the times.

Barbara Marchetti: Before, many of the ceos were also designers who started the company. Now the founders have presidents or ceos other than themselves yet they still have active role as chief designer or on they sit on the board. Now, you have to have access to best practices if you're going to compete in global market.
Also, currently, everybody is concerned with corporate culture and making sure that new executive talent is a cultural fit. Ten years ago nobody knew what corporate culture was.

Barbara Marchetti: Yes, there is a lot of activity right now is a good litmus test is my company. We are relatively new, and we're getting calls all the time from people who want to bring us in. People meet with a resource like us because they are looking for either immediate or short-term changes, not because two years from now they think they might need to bring in a chief operating officer. So our reception from companies is clearly an indication of the marketplace.