How to Conduct a Director Board Review
It is crucial that the board conducts an effective director review. The process should be clear and timely and also assist the board to comprehend its strengths and weaknesses so that it can improve the efficiency of the company.
It can be difficult to measure the performance of each director. The chair’s role on the board can have a major impact on the other directors. It can be difficult to evaluate boards due to the differences in strategy, company cycles, and director refreshment policy.
The manner in which a director’s board review is conducted can affect the candor of the feedback. Some evaluations are informal, such as asking other directors for their opinions while others are structured, including interviews with fellow directors, SIDs, CEOs committee chairs, and the Company Secretary. The review may also include observations made by the Chairman at board meetings – examining things like the level of inclusion in the board, information sharing, and discussion sharing.
It’s often helpful to use an external facilitator who has experience in conducting these reviews – their neutrality can bring extra rigour and objectivity to the process. It is important to begin the process by clarifying the scope and defining the goals of the review. Once that’s accomplished, the next step is to develop a plan for how to evaluate the board and gather insight from the stakeholders. This may involve questionnaire distribution, interviews, document reviews, and/or the use of software to manage board meetings to simplify data collection.
admin administrator
About the Author