Latest / Executive Careers with Fexingo: VP, C-Suite, and Senior Leadership Career Strategy / How Senior Leaders Use Internal Mobility for Career Growth
Transcript
- Lucas: So last week I was talking to a chief financial officer at a Fortune 500 industrial company. Not a name I can drop, but the story is worth sharing. Luna: What's the angle? Lucas: She got the CFO job without ever leaving the company. She'd been there eleven years, through four roles. Corporate development, then strategy, then a business unit CFO role, then the top job. And she told me — 'I never once sent my resume outside the building.' Luna: That's rare, especially at that level. Most senior leaders assume you have to jump to another company to move up. Lucas: Right, and that assumption is exactly what we need to question. Because internal mobility — moving up or laterally within your own organization — is one of the most under-leveraged career accelerators for senior leaders. And I think we ignore it for psychological reasons as much as structural ones. Luna: What are the psychological barriers? Because I've certainly felt the pull of a fresh start at a new company. The allure of the unknown. Lucas: Exactly. There's this 'grass is greener' bias, especially when you're frustrated with politics or pace. But also ego — the idea that staying signals you couldn't get an external offer. That you're not ambitious. I've had VPs tell me, 'I don't want to be seen as someone who just climbed the same ladder.' Luna: And yet the data suggests internal hires outperform external ones, at least in the first two years. McKinsey published something on that a while back. Lucas: They did. Internal hires have shorter ramp-up time, lower failure rates, and they already know the culture, the stakeholders, the political landmines. For senior roles, that's huge. The CFO I mentioned said she closed a major acquisition in her first six months because she already knew the target from her corporate development days. Luna: That's a concrete advantage you can't replicate externally. So why don't more senior leaders pursue internal moves? Lucas: Part of it is visibility. When you're a VP or above, your next move isn't posted on a job board. It's a conversation that happens in a succession planning meeting you're not in. If you're not visible to the people in that room, you're invisible. Luna: So how do you become visible without seeming like you're angling for a specific job? Lucas: That's the art. You don't campaign for a role. You broaden your reputation. You take on cross-functional projects, volunteer for the CEO's strategic initiatives, mentor high-potentials from other divisions. The CFO I mentioned led a company-wide digital transformation task force two years before she was tapped. That got her face time with the board. Luna: That's a smart move — low risk, high return. And it doesn't look like self-promotion. Lucas: Exactly. And there's another piece: having a conversation with your boss or HR about your career aspirations without making it sound like a threat. You can say, 'I'm really committed here, and I want to understand what paths exist for me to grow.' That's different from, 'I'm looking for a promotion or I'll leave.' Luna: But isn't there a risk that once you signal interest, you're seen as a flight risk or you get pigeonholed? Lucas: There is if you do it badly. If you frame it as 'I'm happy, I'm performing, I'm curious about the future,' most good leaders will respect that. The ones who penalize you for being ambitious? Those are probably not organizations where you want to stay long-term anyway. Luna: Fair point. So what about lateral moves? A lot of senior leaders think lateral is a step back. Lucas: Lateral is actually one of the smartest moves you can make. It broadens your scope, gives you new P&L experience, builds relationships across the business. The CFO I mentioned took a lateral from corporate development to a business unit finance role. That gave her the operational credibility she needed to become CFO. Luna: That makes sense. If you only ever do one function, your ceiling is lower. But how do you pitch a lateral move to your boss without sounding like you're bored? Lucas: You pitch it as a growth opportunity that benefits the company. 'I want to deepen my understanding of our operations so I can be more effective in my current role and better contribute to the broader strategy.' That's a hard argument to reject. Luna: And if your boss says no? What then? Lucas: Then you have a decision. If the organization genuinely has no room for internal mobility, that's a signal. But often the no is about timing or the boss's own insecurity. In that case, you might need to build your case over time or look externally. But I'd say try the internal route first. Luna: Speaking of which — if today's conversation actually helped you think through your own career path, we want to mention something. The reason this show stays ad-free is listener support. You can help keep it going at buy me a coffee dot com slash fexingo. Lucas: Yeah, it's a small gesture that makes a big difference for us. And we genuinely appreciate every single one. So if you found this useful, that's the way to make sure we keep doing it. Luna: Alright, back to internal mobility. You mentioned the 'grass is greener' bias. Is there data on how often internal moves actually lead to better long-term outcomes? Lucas: There is. A study from LinkedIn's data team a couple years ago found that employees who changed jobs internally were 60% more likely to stay at the company after three years compared to those who left. And they were promoted faster on average. The reason: they already had social capital and institutional knowledge. Luna: That 60% number is striking. But I imagine it's harder to pull off in smaller companies where there are fewer roles. Lucas: Absolutely. In a 50-person company, there's not much ladder to climb. This is more relevant in larger organizations — Fortune 500, large financial institutions, big tech. But even in mid-size companies, you can often create a role if you make a strong enough case. Luna: Create a role? That's bold. Give me an example. Lucas: I worked with a VP of marketing at a mid-cap tech company who wanted to move into product. She proposed a six-month rotation where she'd lead product marketing for a new launch. It wasn't a permanent role, but it gave her the experience, and when a product director left, she was the natural successor. Luna: So it's about being proactive, not passive. Lucas: Exactly. And that's the core message: internal mobility isn't something that happens to you. You have to engineer it. You have to build visibility, cultivate sponsors, and take calculated risks. Luna: Sponsors — not mentors. That's an important distinction at the senior level. Lucas: Crucial. A mentor gives advice. A sponsor puts your name forward in the succession planning meeting. If you don't have a sponsor in the C-suite, your internal mobility chances drop dramatically. That sponsor is the one who says, 'Have you considered Sarah for the CFO role? She led the digital transformation.' Luna: So how do you get a sponsor without explicitly asking for one? Lucas: You deliver results that make them look good. You solve a problem they care about. The CFO I mentioned had the CEO as her sponsor because she made his digital transformation initiative a success. She didn't ask for sponsorship; she earned it by being indispensable. Luna: That's the gold standard. But it's also a long game. What if you're in a situation where you need to move within the next 12 months? Lucas: Then you need to be more direct. Have a career conversation with your manager and with HR. Express interest in specific areas. Ask to be considered for high-visibility projects. And start networking internally — not just in your division, but across the company. Buy people coffee, learn about their challenges. Luna: That's the same advice we'd give someone looking externally, but applied internally. Lucas: Exactly. And the advantage is, you already have credibility. You're not a stranger. People know your reputation — or at least have heard your name. That's a huge head start. Luna: Are there any industries where internal mobility is particularly strong or weak? Lucas: Financial services and professional services tend to be strong — they have structured career ladders. Tech is mixed. Some big tech companies have great internal mobility programs; others are siloed. Manufacturing and retail tend to be weaker, but it varies by company culture. Luna: So the first step is really just to ask the question: 'What does career growth look like here?' And to be honest about whether the answer excites you. Lucas: Right. And if it doesn't, then maybe it's time to look externally. But don't assume that's your only option. The internal path is real, and for many senior leaders, it's the smarter one. Luna: I think the key takeaway for me is: don't let ego or the lure of the new keep you from seeing opportunities that are already around you. Lucas: Well said. And if you do decide to explore an internal move, the playbook is out there. It's just a matter of running it.