Blog
In AESC’s recent webinar with our Premier Partner Fama, one message came through clearly: misconduct risk is no longer a peripheral concern in hiring. It is a leadership issue, a culture issue, and increasingly, a business risk issue.
For organizations making senior-level appointments, the implications are significant. Executive hiring has always required rigorous evaluation of capability, experience, and judgment. Today, it also requires a more complete understanding of conduct and reputational risk.
This is not simply because the stakes are higher at the executive level, though they are. It is because leadership decisions shape culture, influence trust, and signal organizational values. When misconduct concerns emerge around a senior leader, the consequences can extend far beyond one individual hire.
That is why the discussion with Fama was so timely.
Fama’s latest research points to a notable shift in the hiring landscape. According to its 2026 State of the Shortlist findings, more than 1 in 20 job candidates showed online warning signs of workplace misconduct.
For those in executive search and leadership advisory, these findings reinforce an important reality: risk does not always reveal itself through interviews, references, or résumés alone.
A key takeaway from the webinar was that organizations need to broaden how they think about due diligence in leadership hiring. In an environment where digital behavior can affect employer brand, internal culture, and stakeholder confidence, assessment must extend beyond credentials and performance history. It must also consider indicators of judgment, conduct, and alignment with organizational values.
This is not about adding friction to the hiring process. It is about strengthening confidence in leadership decisions.
The webinar also underscored a second important point: misconduct risk is becoming harder to detect. Fama notes that digital platforms are evolving quickly, with private engagement features, gated communities, and decentralized networks making visibility more limited than in the past. Even after removing now-private “likes” from its analysis, Fama still found misconduct warning signs increased 45% year over year, from 3.3% to 4.8%.
For boards, CEOs, and search consultants, that should prompt a broader conversation. If harmful behavior is becoming both more prevalent and more difficult to identify early, then leadership assessment frameworks must evolve accordingly.
Another theme from the discussion was prevention. Too often, misconduct is treated as something to address only after a crisis emerges. But strong leadership governance depends on identifying risk earlier, before it affects employees, culture, or organizational credibility. Fama’s report describes misconduct as progressing from exposure to normalization, then advocacy and eventually participation, a reminder that early signals matter.
For the executive search profession, this moment presents both a challenge and an opportunity. Clients are looking for more than candidates who can deliver results. They are looking for leaders who can inspire trust, model sound judgment, and strengthen the institutions they serve. That requires a deeper, more holistic view of leadership readiness.
At AESC, we believe the future of executive hiring will be shaped not only by how well organizations assess talent, but by how thoughtfully they assess leadership risk.
Our webinar with Fama highlighted why this conversation is becoming more urgent. Their full report goes deeper into the global trends driving misconduct, the changing nature of warning signs, the industries most affected, and what employers can do to better protect their organizations.
AESC Members can log in to download Fama’s full report, The 2026 State of the Shortlist, and get access to the webinar recording.
