What Defines a Good Chairman
The duties of a chairman have increased in the recent times as well as the expectations. Stakeholders expect to have an engaged, energetic Chairman who does more than managing corporate governance. For a chairman to be effective in his duties, he should have a good relationship with all the directors. The two should be practice candor and transparency for them to be able to rely on each other. For the two parties to work in unison, they need to perceive that they hold contrasting positions in the company.
It is crucial for a good chairman to be familiar with the industry he is working in to ensure maximum efficiency. Constructive criticism should be offered by Chairman to the shareholders and stakeholders. Moreover, the chairman should always ask relevant questions regarding various issues in the company. A good chair needs to know the mission of the board and how to measure the progress of the company. Offering guidance is a major role of the chair and finding new ways to purchase important resources for the company. The position of the chairman does not allow him to run the company and he should be able to recognize that. Support to the organization is his primary role.
A chair is required to just put in a few hours if his time to carry out his duties. He should not be involved in too much of the organization’s work either. However, he should interact with the staff, customers, and investors from time to time. A chairman is able to figure out what problems the company could be facing at all times. Running the organization, bringing together the senior management team and other members of the organization are what describes an effective chairperson.
In case of a crisis in the organization, a good chairman is able to put the interests of the company first. The mission of the company is the most important detail; hence the chair cannot afford to forget it. To solve any problems within the organization, he should be willing to give in a lot of his time until everything is aligned for example Mr. Hussain al Nowais.
When a chair is ready to step down, he should always know how to do it and when. He suddenly does not step down from his position without any warning. He is supposed to share his intention with the management team and directors about resigning from the company at least six to eighteen months before leaving. This gives the organization to start looking for a replacement. Also, the resigning chairperson gets to meet the new chairman like Hussain al Nowais and gets to introduce him to major team players within the organization.