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A company chairperson acts as the company's leading representative to the outside world. They are responsible for strategic matters, setting high governance standards and ensuring decisions meet legal and regulatory requirements.
Chairs play a pivotal role in increasing the effectiveness of the board and individual directors, as a well as ensuring there is effective communication with the leadership team, acting as a sounding boar for the Chief Executive and liaising with the Company Secretary over agendas and board meetings.
Appointment of a suitable candidate is, therefore, key to the long term success of an organisation.
Download this report, which includes not only a description of the role, but the skills required and a comprehensive job description for the chairperson in a major company.
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When negotiating funding terms, investors will often ask for a seat on the board; significant shareholders might have the right to nominate one or more directors and activists and pressure groups might attempt to demand board representation.
The role of a director is to add value to a company, whilst ensuring adoption of ethical and legal good practice. The job of an 'investment director' is to represent the interests of an investor in a company. However, their first duty of care is to this company, whilst still representing the interests of the investor. This can lead to potential conflicts of interest.
"Guidelines for the Appointment of Investment Directors" discusses these issues, rehearses the legal duties of a director and indicates the desired competencies and qualities of candidates.
It suggests a process for selection and nomination of candidates and defines a job description.
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