The most important predictor of director effectiveness is not independence, but strategic experience that matches the company’s needs. […] Evidence that director experience is critical to board effectiveness is relatively new. However, evidence that board independence has neutral to negative effects on board effectiveness is not. The first research casting doubt on the value of board independence appeared in the late 1980s. Since then, not only have advocates of governance reform in the U.S. continued to focus on this issue, but the board independence mantra has spread to other countries.
Like this content? Why not share it?
There Are No Comments
Click to Add the First »
Click to Add the First »