The Definition of a Good Chairman
The role of a chairperson has become well recognized, and the expectations are consistently growing. Stakeholders expect to have an engaged, energetic Chairman who does more than managing corporate governance. The success of a Chairman like Hussain al Nowais depends on how good his relationship with the chief executive is. Their relationship should be honest, transparent and they should be able to trust one another. The two parties have to understand that they have different roles for them to work together successfully.
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. While still helping the organization by offering guidance, he should be able to acquire resources that would be of use within the organization. The position of the chairman does not allow him to run the company and he should be able to recognize that. His main role is to reinforce the directors and other senior officials.
A chairman does not have to spend all his time in the organization as his roles are not demanding. 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. The ability to run an effective board and make sure there is a good relationship between the shareholders and stakeholders is what defines a good chairman.
If the company runs in a crisis, the chair is supposed to intervene quickly and offer necessary guidance on how to deal with the menace. 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 does not wake up one morning and decide not to carry out his duties anymore. He is careful enough to hand in his resignation letter and inform the management team at least six months earlier. This will allow the company to have enough time to look for a successor. The outgoing chair should take a few days to introduce his successor to the senior member of the company and pass on any relevant information.