Board Evaluation

Board Evaluation

In terms of the design and coverage of the board evaluation, there are at least nine areas that are required to be addressed. As summarised below, these touch on Shareholders and other Stakeholder-interests, the Company itself, legal and ethical issues, the Chief Executive Officer, Board meetings and individual member contributions, the general direction of the Company as well as any other business considered pertinent to the Board’s ability to discharge its mandate.

Shareholders

How well do the Company’s objectives reflect Shareholder expectations?

Is there full and accurate reporting on the Company’s affairs to its Shareholders?

What is the state of relationship with the Shareholders?

What are the Board’s relationships with monitoring agencies?

The Stakeholders

Has the Board identified key Stakeholders?

Is there a policy determining how the Company will relate with its Stakeholders?

What is the state of the relationship with the key Stakeholders?

The Company

Is the level of strategic planning of sufficient quality and content?

How accurately is the strategic plan reflected at an operational level in the Company’s business plan?

Does the Board review the Company’s performance against the business plan?

Are all legal/ethical requirements met satisfactorily?

Does the Company have a Code of Conduct?

Is the Company a good employer?

Are independent ratings of the Company satisfactory?

The Direction of the Company

How satisfactory is the Board’s monitoring of the Company?

Are the important issues being identified?

How well are these analysed and discussed?

The Chief Executive Officer

How well is the Chief Executive Officer job description defined?

Is the Chief Executive Officer satisfactorily supported by counsel from the Board?

Is the Chief Executive Officer performance monitored and appraised satisfactorily? 89

Is the Board avoiding excessive intrusion in the Chief Executive Officer and/or management’s responsibilities?

Board Meetings

Is the information supplied to the Board appropriate and relevant?

Is preparation and planning for Board meetings satisfactory?

Is the frequency and style of meetings appropriate?

Is Board attendance and participation working well?

Is the Board and Committee structure still appropriate?

Are accurate and timely minutes made and maintained?

Is there follow up on actions necessary and/or reports to the Board on actions taken?

Individual Board Member Contributions

Is the Chairperson carrying out his role satisfactorily?

Is there recognition and use of an individual Board member’s particular skills?

Is the Board contributing contacts and generating business?

Is the Board making other special contributions to the success of the Company as a whole?

Any Other Business

Does the Board have a working knowledge of other providers or competitors in their sector?

Does the Board play a role in social accountability or the wider responsibility of the Company?

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