Link to Imagine a board of directors that operates like a basketball team, in which each member plays to their strengths, complements each other, and strives for excellence and improvement. This is the vision that individual director evaluations can help achieve, if undertaken properly and respectfully. Imagine a board of directors that operates like a basketball team, in which each member plays to their strengths, complements each other, and strives for excellence and improvement. This is the vision that individual director evaluations can help achieve, if undertaken properly and respectfully.
Board self-evaluations are common for listed companies, to enhance governance, accountability and performance. However, many boards avoid evaluating individual directors, fearing conflict or resentment.
If done properly and respectfully, however, individual director evaluations can provide constructive feedback, cultivate improvement, and help directors determine how to enhance their contributions and when a thoughtful succession plan might be in order. Such a merit-based focus not only provides accountability that directors demand of executives, but it is also better than cruder tools like age or term limits (call this “fit limits”). Read More >>