An exclusive peak at The Independent Director
Along with overseeing the company, nowadays all boards also need to scrutinize and examine themselves. This process – board evaluation – is something that every company needs to do on a regular basis. Board evaluation used to be a largely informal matter, in which the chairman would have a series of one-to-one conversations with other board members and ask them whether they thought the board was running okay. If they all did, no further action was taken; if there were issues, the chairman would try to deal with them. This kind of informal monitoring is actually very useful.