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Click here to download a pdf - Director Magazine

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THE BOARDROOM CONVERSATIONIn any board conversation, it is incumbent upon direc<strong>to</strong>rs: <strong>to</strong> be well preparedand clear on the purpose of the agenda; <strong>to</strong> stay with the evidence and noticeassumptions that are being made or when issues become personal; and <strong>to</strong> noticehow they and others react when being challenged or when their views seem <strong>to</strong> beunappreciated or ignored.Whilst not avoiding the courageous conversations and risking constructiveconflict, it is also important <strong>to</strong> gauge when a particular interaction is gettingstuck or in<strong>to</strong> a downward spiral that is better curtailed and taken off-line.THE ROLE OF THE SENIOR INDEPENDENT DIRECTORThe role of the senior independent direc<strong>to</strong>r (SID) has increased in importance inrecent years, particularly in a corporate crisis when both chairman and chiefexecutive come under fire from various stakeholders.The role of the SID is also important at other times of corporate uncertainty,for example, if t<strong>here</strong> is a major conflict between the chairman and chief executiveor if other direc<strong>to</strong>rs or stakeholders believe that the chairman or chief executiveis not addressing their interests.In normal times, the SID is valued as a highly independent and experienceddirec<strong>to</strong>r who acts as a sounding board for the chairman and leads the evaluationof the chairman on behalf of the other direc<strong>to</strong>rs. The SID can also play animportant role in helping new NEDs settle in and find their place on the board,and acts as a conduit between NED and chairman. They will demonstrate thecharacteristics expected of an effective board member and, <strong>to</strong> that extent, willcontribute significantly <strong>to</strong> the quality and <strong>to</strong>ne of board conversations.WHEN AND HOW TO RESIGN FROM THE BOARDOccasionally, t<strong>here</strong> are circumstances when a direc<strong>to</strong>r or direc<strong>to</strong>rs will considerresignation from the board.The reasons behind such a choice can vary significantly. It may be that t<strong>here</strong> isan overly dominant individual, or group of individuals, on the board who isdriving an agenda that raises serious issues of accountability or good corporategovernance. Or an individual direc<strong>to</strong>r may find that circumstances have changedso that they feel unable <strong>to</strong> devote the time or feel that they can make a valued58

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