I worked for a huge healthcare organization and the CEO was not a doctor, nor was she even familiar with the field before leading the organization.
CEOs are not "hands on the ground" in a functioning organization. When I hear things like this, it makes me wonder what CEO you have worked with and if they subscribed to the Jimmy Carter method of management or something. "No, no, let me diff the source on that, I am the CEO after all..."
I am not surprised they are in trouble.