THE ATTRIBUTES OF A GOOD NON EXECUTIVE DIRECTOR
Michael Tait lists the key attributes of a good non executive director
A non executive director (NED) is a member of a company’s board of directors who is not an executive or employee of the company. NEDs play an important role in corporate governance and can bring a wealth of experience, expertise, and independence to the board. Here are some of the key qualities of a good non-executive director:
One of the key roles of a non executive director is to provide independent perspective and challenge to the board. A good NED will bring an impartial and objective view to the board, and will not be afraid to question decisions or provide alternative viewpoints.
A good non executive director should bring a specific area of expertise to the board, such as financial, legal, or operational expertise. This expertise can help the board make informed decisions, and can provide valuable insights and advice to the CEO and senior management team.
3. Strategic thinking:
Non executive directors should have a strong ability to think strategically, and should be able to help the board see the bigger picture. They should be able to provide a long-term perspective and help the board to anticipate and manage potential risks and challenges.
4. Communication skills:
Non executive directors should have excellent communication skills, and should be able to articulate their opinions and ideas clearly and concisely. They should also be able to listen effectively, and be open to the perspectives and opinions of others.
A good non executive director should be fully committed to their role and responsibilities, and should be willing to devote the necessary time and energy to their role. They should be prepared to attend board meetings regularly, and to be available for discussions and follow-up as needed.
6. Ethics and integrity:
Non executive directors should possess a strong sense of ethics and integrity, and should be committed to acting in the best interests of the company and its stakeholders. They should be transparent and accountable, and should be prepared to take responsibility for their actions and decisions.
7. Good judgement:
A good non executive director should have the ability to make good judgement calls, and to balance the needs of the company with the interests of its stakeholders. They should be able to assess complex issues and make well-informed decisions, and should be able to take a long-term view of the company’s interests.
In conclusion, a good non executive director should bring independence, expertise, strategic thinking, communication skills, commitment, ethics and integrity, and good judgement to the board. By possessing these qualities, Non executive directors can help to ensure that the board is effective, and that the company is able to make informed decisions and achieve its goals.