Non Executive Director

A Non Executive Director provides both expertise and experience that a company may not be able to afford on a full time basis or where there is a specific need. The non executive directors, with the chairman of the board of directors, ensure the executive directors are running the company for the benefit of the owners of the company. Where the chief executive is the owner the non executive directors ensure the company meets the requirements of corporate law and provide unbiased advice to the chief executive.

There is a lot of advice available on how to choose a suitable non-executive director and there are recruitment companies who specialise in finding the right type of candidates. Unfortunately most companies play it safe when recruiting a non-executive director and choose someone with knowledge of the same industry or worse still choose someone with the same background as other members of the board. There is an advantage in selecting someone with a very different background and skill set in that they will question assumptions and can bring a totally different view point to bear on a problem or decision. This can be uncomfortable for other members of the board as little is taken for granted and the newcomer may ask questions which will initiate major changes of direction.