Boards repeatedly overlook internal CEO successors even though evidence shows they outperform external hires. In this NACD Directorship article, ProjectNext Leadership co-founder and co-CEO Jeff Rosenthal identifies the "readiness gap"—a failure to surface and develop talent in ways that build board confidence—and outlines five practical steps boards can take to strengthen their internal pipelines. From structured assessments to board-level exposure, Rosenthal shows how boards can turn potential into preparedness and ensure they're never caught without a ready successor.