What Defines a Good Chairman
The duties of a chairman have increased in the recent times as well as the expectations. Shareholders and directors require to have a chairman that is passionate about his job on governance of the company and also very active in his roles. The relationship between the Chairman and the chief executive officer should be good to ensure the success of both of them. The two should be practice candor and transparency for them to be able to rely on each other. 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. He should be able to provide a constructive level of challenge to the senior management team. Moreover, the chairman should always ask relevant questions regarding various issues in the company. A good chairperson is always aware of the long-term vision of the company. He should be able to offer guidance to the organization while still helping to secure external resources outside 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, however, should make sure that he devotes just the right amount of time to the roles he is supposed to take care of. Since he does not run the company, he does not have much work. When the chairman is in the business premises, he can interact with the customers, investor or workers to see how business is running as Mr. Hussain al Nowais does. Like Mr. Hussain al Nowais, an excellent chairman can develop empathy with the business and engage with the people and any ongoing issues. 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.
In case of a crisis in the organization, a good chairman is able to put the interests of the company first. The mission of the company is the most important detail; hence the chair cannot afford to forget it. A good chair should always be selfless when problems arise until they are well resolved.
A great chairman should follow the right procedure when he is ready to resign from his duty. He does not step down abruptly without any previous warning. He is supposed to share his intention with the management team and directors about resigning from the company at least six to eighteen months before leaving. The company there is able to get adequate time to search for someone else to fill in that position. Also, the resigning chairperson gets to meet the new chairman like Hussain al Nowais and gets to introduce him to major team players within the organization.