ABSTRACT

How do effective directors ensure the relationship between the board and the chief executive is appropriate and well functioning?

Based on a framework of global corporate governance best practice, which can be used in all organisations anywhere in the world, this chapter of Questions To Ask (QTA) in the boardroom gives a high-level but succinct introduction to reviewing the chief executive.

The relationship between the CEO and the board is key to the overall functioning of any entity. It can be helpful for the board to set some key principles for the relationship built on expectations of values, transparency, risk and opportunities management, stakeholder engagement, and ethics.

The chapter considers what the board should look at when reviewing the CEO. This includes looking at early warning signs of a CEO not functioning well, personal attributes, leadership, management, board relations, and financials.

The chapter’s introduction leads into outlining the key Questions To Ask in the boardroom, giving the reader further insight into how to initiate discussions about the practical details requiring the attention of the board.