Often in our careers, we feel as though our employers couldn't get by without us. We work long hours, feeling that otherwise the job simply won't get done. Unfortunately for our egos, that's just not the case most times. People retire or pursue other opportunities, and more often than not, others fill the void without so much as a skip in the beat.
For management, particularly a chief officer or president, a bigger void needs to be filled. Even then, things don't have to come to a screeching halt. The great Jack Welch left, yet General Electric (NYSE:GE) continues to be an industry leader. After turning McDonald's (NYSE:MCD) around, Jim Cantalupo tragically passed, yet the company continues to be what a plethora of other fast-food establishments aspire to become.
These facts lead me to believe that CarMax (NYSE:KMX) and its investors shouldn't be too concerned about the news that the CEO will retire in 2006. Sure, Austin Ligon is also the co-founder and president, but that doesn't mean it's the end of the road for CarMax.
Ligon has been with the company for more than 14 years, helping to turn it into the nation's largest used car retailer. Who would've ever predicted that a used car retailer would be one of Fortune's 100 best companies to work for?
Ligon intends "to work closely with the board over the coming months to help identify, recruit, and successfully integrate a new CEO." Because he's one of the founders, I believe he will do all he can to ensure a suitable replacement is brought on board.
Don't get me wrong. This type of change is never easy and the road may get bumpy. But I think CarMax has a solid foundation with plenty of room for continued growth. I'll be watching this story as it unfolds, and I think dips when investors are overreacting to this news may make for great buying opportunities.
Fool contributor Mike Cianciolo welcomes feedback and doesn't own shares of any of the companies in this article.
