Boards best served by members with courage
A study into the largest companies shows a swing to more independent directors, but also a marked rise in CEO-chair duality
Regarded as one of the biggest instances of private sector fraud in SA, the Steinhoff scandal of 2017 raises an important question: how essential are independent directors in keeping boards on the straight and narrow?
Though there is no universal definition, independence generally describes an individual whose only relationship to a company constitutes their directorship. Independent directors should ensure no-one individual or group yields unfettered power over the board. They also play a critical role in managing conflicts of interest affecting board members and safeguarding the interests of minority shareholders and other stakeholders who may not be represented on the board...
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