Entrepreneurial ambition & growthFinance, Governance & Control

The role of the Chairman

As someone who spends time acting as Chairman and Non executive as well as mentor, and Peer Group Facilitator to a large number (nearly 40 at the last count) of business leaders I was interested to read an article about the role of the Chairman in Growing Business recently.  Written by David Soskin, himself an experienced CEO, Chairman and Non Executive he makes a number of good points which I have used to develop my own view below:

The Chairman should

Be neutral and independent so that they can act as a buffer between the CEO, other board members and play a key role in resolving differences.

Have a broad understanding of business drawn from a number of successful businesses AND a good understanding of the specific business so they can be an effective sounding board for the CEO without trying to do their job for them.

Ensure that board meetings take place regularly and are focused on key strategic decisions to ensure the survival and growth of the business based on a proper assessment of options informed by both facts and a full range of openly expressed opinions.

Ensure proper governance based on management accounts and papers setting out clear options with risks, benefits and costs assessed.

Be well connected with potential customers, advisers and partners.

As always if you want more detail, or in this case the original opinion, then please read David’s article here.