Gambling firm Tatts Group has begun looking for a replacement for outgoing chief executive Dick McIlwain.

The company wants to find a replacement before Mr McIlwain leaves, at the end of 2012, to enable a smooth handover, chairman Harry Boon said on Monday.

“The process is underway and will include internal candidates as well as external candidates,” he said in a statement.

“The search has been timed to allow for minimum disruption to the business as well as an orderly transition towards the end of the year.”

Global executive search firm Russell Reynolds Associates is help Tatts with its search.

Tatts operates lotteries in several states, as well as poker machines in Victoria and fixed-price betting in Queensland, South Australia and the Northern Territory.