If you were to look back, what advice would you offer yourself? Would you have done anything differently?
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Richard Laing, Chief Executive, CDC“If the executives do not trust the NEDs, for example because the NEDs seem uninterested or are too overpowering or critical, then the executives will not be open with the NEDs. The NEDS will then not be given appropriate information. If the NEDs do not trust the execs, the execs will quickly pick this up and become defensive, with the same result: insufficient or inappropriate information to the NEDs. The onus is therefore on the NEDs to engender that trust. If they do not, they will not have access to the information they need, and will be neutered from doing their job.”
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Operational Involvement of Non-executives
The board is rarely questioned when organisations are running smoothly. However, when operations go wrong, like BP, the board is held accountable and questioned about their knowledge of the missteps and their reasons for not getting involved earlier. In a July 9th opinion piece featured in the Daily Telegraph, Lord Norman Tebbit questioned the role that BP non-executive directors played in the crisis. “They should have been alert to the dangers of a lack of operational experience not only of their executive colleagues, but further down the line, among those immediately assessing the quality of sub-contractors’ operations,” writes Lord Tebbit.
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