X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
It was a privilege to speak at the recent national conference of the Society of Corporate Secretaries and Governance Professionals, a non-profit organization of corporate secretaries and business executives involved in governance, ethics and compliance at public, private and not-for-profit organizations. The presentation “Pursuing and Recruiting Directors—How Best to Do So?” gave attendees insights into this critical subject. Beverly L. O’Toole, general counsel of corporate governance at Goldman Sachs Group, and I prepared a follow-up video for the society’s website. I would like to share some of its highlights with you and you can also view it at www.stuartlevine.com.

Fundamentally, a board’s responsibility is to validate strategy and be responsible for CEO ­succession and performance. The board assures that compensation plans reflect accountability to shareholders for the overall performance of the corporation.

Board recruitment is directly tied to these responsibilities. The board’s oversight of the creation and implementation of the strategic plan requires skill sets that a director must possess to meet both the future needs of the organization, as well as its current requirements. Establishment of criteria for board recruitment is a best practice. Criteria provide a yardstick against which candidates can be measured. Diversity of background, thought and experience adds to the richness of the board and should be part of the recruitment calculus. The governance and nominating committee is ­primarily involved in setting the criteria, but the entire board must have a voice. A criteria-based approach avoids the focus on personalities, allowing the organization to concentrate on the characteristics required.

Board recruitment is a continuous process. For private companies, search firms can track the pipeline of director candidates available in the coming year. These firms are constantly in the market and are well positioned to access a network of candidates with various skills and diversity characteristics.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

 

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times
Live Chat

Copyright © 2022 ALM Media Properties, LLC. All Rights Reserved.