Chapter 3 - Effective Board Practices Flashcards
Which companies are required to undertake board evaluations?
All listed companies
Which companies must carry out external facilitated board evaluations and how often?
FTSE350 companies - at least once every three years
Who should evaluate the performance of the company chair?
The NEDs led by the Senior Independent Director
When should Directors receive induction training?
Shortly after appointment
Is it necessary for experienced directors to receive induction training?
Yes, as all companies have different processes
Is it better for directors to receive training all in one session or spread out during the year?
It is better to drip feed the updates rather than overload with, say, one annual update session.
Why should board commitees have written terms of reference?
To ensure there are clear objectives, authority and parameters for the matters delegated to them.
Who is responsible for notifying the FCA where a PDMR (Person discharging managerial responsibilities) deals in the company’s shares?
The PDMR but often delegated to the company secretary.
Can an employer legally sack a whistle - blower for blowing the whistle?
No.
