The right Non Executive Director can not only enhance the performance of the Board, but also strengthen the external view in which the company is held by all those individuals and institutions that have an interest. Non Executive Directors provide a company's board of directors innovative input by adding objective advice. Non Executive Directors are key to an efficient company and they should have a commitment to the success of the company. Non Executive Directors should have a vision for the company and have a breadth of experience. Their independence from the management of the company is also very important. They bring a high degree of objectivity and key players in monitoring management decisions. Non Executive Directors are independent, impartial, experienced, knowledgeable and have outstanding personal qualities. Non Executive Directors are members of the Board of Directors. The Board of Directors is responsible for general guidance, strategic direction, monitoring the performance of the executive management and ensure that the company accounts accurately the financial performance of the company and that the company implements the necessary internal controls and governance.
How to choose the right Non Executive Directors
We find that directors need to have close collaboration and trusted communication with the CEO and fellow directors to help the board to achieve results and create value for shareholders. Directors also need to understand the priorities of the business, the strategy, and the direction of the business. During board deliberations, directors need add value and substance, not just talk.
Our recruitment approach involves a number of important, inclusive stages:
•We hold initial discussions with the Chairman and Chief Executive and other relevant Directors in order to define clearly the career experience and other attributes the Board requires in the Non Executive to be appointed.
•Specific company, market, sector and operational / functional experience will be discussed and included in a detailed 'ideal candidate profile'.
•Companies, markets and sectors of high interest level for potential candidates will also be discussed and agreed.
•Companies that may represent a conflict of interest will be discussed, agreed and eliminated from the search process.
•A formal job description will be drawn up to include:
The time commitment required by the Non Executive to be appointed
Board meeting dates and locations
Specific tasks and future projects to be asked of the new Non Executive
Committee involvement eg: remuneration, audit
Potential candidates will be identified via a number of routes:
•Direct approach and contact with those identified as 'preferred on paper'. Recommendations and networking throughout our extensive contact base.
•Advertising - very effective in producing a broad range of candidates quickly and sometimes leading to different, less obvious candidates or those who might have previously been regarded as unreachable.