The role of the chairman has become high in profile and the expectations multiplied over time. 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. For a chairman to be effective in his duties, he should have a good relationship with all the directors. Their relationship should be honest, transparent and they should be able to trust one another. They both need to recognize that they have different duties for them to work harmoniously.
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 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 chairman, however, need to realize that he does not run the organization. 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. Since he does not run the company, he does not have much work. From time to time, he can walk around the organization and see how the employees are progressing and enquire about any challenges they may be facing. 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.
In case of a crisis in the organization, a good chairman is able to put the interests of the company first. While tackling the problem, he should always remember the set mission by the organization. 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 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. The outgoing chairperson gets an opportunity to hand over his roles to his successor.