qualities of an outstanding chairman
TRANSCRIPT
QUALITIES OF ANOUTSTANDING CHAIRMAN
CHARISMAThe role of the chairman has become much higher in profile and
the expectations on the chairman have also increased.Stakeholders now expect a charismatic, engaged and involvedchairman who does simply more than oversee or manage the
corporate governance process.
GOODCOMMUNICATORThe success of a chairmanship undoubtedly hinges first andforemost on the relationship the chairman has with the ChiefExecutive and the senior management team. This relationshipshould be centred on honesty, trust and transparency. The
success of this relationship is based on mutual understanding byboth parties.
CLEAR SENSE OFDIRECTION
Through this strong relationship, an effective chairman shouldalso have a tacit understanding of the business, its aims and goals
and ensure a clear sense of direction throughout.
STRATEGIC VIEWFollowing on from this, a chairman should never lose sight ofthe overall strategy for the business. A chairman has done thejob when the ‘Vision for the Business’ as set out and presented
in the strategic plan by them and their Board, to theshareholders and stakeholders, has been achieved.
ALLOW CEO'S TODO THEIR JOB
One of the main faults of chairmen deemed to be ineffective is theirfailure to comprehend that they are not there to run the business,and that their role is instead to support and guide. In simple termsto be a good chairman is to ensure that the business is well run
and not to run the business.
GOODGOVERNANCE
A chairman needs to set the tone at the top of the organisation,focussing on what the organisation wants to be. Crucial to this isthe deployment of good governance and best practice to ensure a
positive corporate reputation in the marketplace.
BROADEXPERIENCE
As well as having an excellent understanding of the business,effective chairmen must use their broad professional backgroundand business acumen gained in other companies to help guide,
challenge and advise.
ENGAGE, ENGAGE,ENGAGE
There is however a fine line to walk between being too involvedand being too remote. This means chairmen should devote theappropriate level of time to their roles, which means visiting
operations, talking with staff and customers, as well as investors.The best chairmen are able to develop an empathy with the
business and engage with its people and issues.
GETS TO THE KEYISSUES QUICKLY
The appointment of a chairman is an effective way of gaining afresh perspective on your business, identifying any challenges andresolving issues quickly so the company can focus on progress
and growth.
CAN GAINSTAKEHOLDERCONFIDENCE
Whether it's shareholders or stakeholders, the ability to inspireconfidence and support from the leadership team and is one of the
most important qualities a chairman can possess.
Original article by Frank Lewis
