Board, Director and CEO Evaluation

1st Edition
0074714023 · 9780074714027
Corporate governance demands an increased focus on the leadership role of the board, the CEO and the directors and the call for these to be more accountable for their own performance is a growing global trend. Board, Director and CEO Evaluation helps… Read More
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1 Introduction

1.1 Increasing pressure for board evaluations

1.2 Objections to the board evaluation process

1.3 Advantages of board evaluation

1.4 Framework for a board evaluation

1.5 Conclusion

2 Setting objectives for your board evaluation

2.1 What does the board hope to achieve?

2.2 Getting started

2.3 First-time evaluations

2.4 Conclusion

3 Who will be evaluated?

3.1 Criteria for deciding who to evaluate

3.2 Board as a whole

3.3 Board committees

3.4 Individual directors

3.5 Chairperson

3.6 Lead independent director

3.7 Company secretary

3.8 CEO

3.9 Conclusion

4 What will be evaluated?

4.1 The governance balancing act

4.2 Refining the evaluation’s objectives

4.3 The Corporate Governance Charter framework

4.4 Applying the framework

4.5 Other best practice frameworks

4.6 Conclusion

5 Who will be asked?

5.1 Potential sources of information

5.2 Determining who to ask

5.3 Conclusion

6 Evaluation techniques

6.1 A research methods primer

6.2 Qualitative analysis

6.3 Quantitative analysis: the survey

6.4 Conclusion

7 Who conducts the evaluation process?

7.1 Internal reviews

7.2 External reviews

7.3 Conclusion

8 Communicating the results

8.1 Who will be advised?

8.2 How and about what will they be informed?

8.3 Conclusion

9 Evaluating your CEO

9.1 Relationship between the board and CEO

9.2 Pressures for increased CEO evaluation

9.3 Advantages of the CEO evaluation process

9.4 Designing a CEO evaluation process

9.5 Steps in the CEO evaluation process

9.6 Using the results of the evaluation process

9.7 Conclusion

10 Implementation

10.1 The implementation process

10.2 The performance evaluation cycle

10.3 Persuading the board to implement regular evaluation

10.4 Conclusion

11 Conclusion

Appendix 1 Board-as-a-whole questionnaire 1

Appendix 2 Board-as-a-whole questionnaire 2

Appendix 3 Individual director self-evaluation questionnaire 1

Appendix 4 Individual director self-evaluation questionnaire 2

Appendix 5 Directorial competence self-assessment questionnaire

Appendix 6 Individual director peer-evaluation questionnaire 1

Appendix 7 Individual director peer-evaluation questionnaire 2

Appendix 8 CEO evaluation tool 1

Appendix 9 CEO evaluation tool 2

Appendix 10 CEO 360-degree feedback questionnaire (extract)

Appendix 11 Sample questions for board-as-a-whole evaluation

Appendix 12 Sample questions for individual self-evaluation

Appendix 13 Sample questions for individual peer evaluation

Appendix 14 Sample CEO job description

Bibliography

Index

Corporate governance demands an increased focus on the leadership role of the board, the CEO and the directors and the call for these to be more accountable for their own performance is a growing global trend. Board, Director and CEO Evaluation helps to implement the recommendations for evaluation that haven been included in almost every major corporate geovernance review or report.

This practical guide is based on the authors' extensive research and consulting experience and provides the information necessary to carry out board, director or CEO evaluations. The authors discuss current thinking in best practice corporate governance and outline the benefits of evaluation. They use diagrams, checklists and practical examples to illustrate key concepts and include questionnaires to evaluate the performance of boards, committees, directors and CEOs.

As board, director and CEO performance is critical to today's organisation, this book is an essential business tool.