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Role and Contribution of Non‐Executive Directors

Andrew Kakabadse (Cranfield School of Management, Cranfield, Bedford, UK)
Keith Ward (Cranfield School of Management, Cranfield, Bedford, UK)
Nada Korac‐Kakabadse (Cranfield School of Management, Cranfield, Bedford, UK)
Cliff Bowman (Cranfield School of Management, Cranfield, Bedford, UK)

Corporate Governance

ISSN: 1472-0701

Article publication date: 1 March 2001

4946

Abstract

The paper presents the results of a study based on an extensive number of interviews and focus group discussions conducted with non‐executive directors (NEDs), executive and non‐executive chairmen, chief executive officers (CEOs) and other key line and functional directors within UK corporations. Four critical issues concerning NEDs’ performance are identified, namely the need to be responsive to boardroom dynamics, the need to be multi‐competent in response to the various challenges NEDs face, the need to have the capability to address governance issues which are increasingly identified as predominating boardroom debate and the need to be sensitive to the context within which the company finds itself. Overall, NEDs are considered to provide a valuable contribution to the progress of the enterprise. However, the question that remains unanswered is what motivates NEDs to continue to address such challenges as, in the UK context, NEDs’ rewards are seen to be particularly low.

Keywords

Citation

Kakabadse, A., Ward, K., Korac‐Kakabadse, N. and Bowman, C. (2001), "Role and Contribution of Non‐Executive Directors", Corporate Governance, Vol. 1 No. 1, pp. 4-8. https://doi.org/10.1108/EUM0000000005455

Publisher

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MCB UP Ltd

Copyright © 2001, MCB UP Limited

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