There has been an ongoing growing demand for Board Chairs in the UK. This is evident in the increasing number of chair roles we have advertised weekly over the last 9 years. This year alone, Chair roles account for around 20% of available opportunities. Despite the risks and increased responsibility, many individuals aspire to become board Chairs. Is it a role for you to consider?
What does the board chair do?
The chair’s primary role is to provide leadership to the board, enabling it to function effectively as the organisation’s highest decision-making and governance body. The chair is also responsible for ensuring that the board focuses on strategic matters, overseeing the organisation’s business and CEO, plus setting and maintaining governance standards.
In doing so, the board chair is responsible for the board’s composition and for fostering the effectiveness of individual board members both inside and outside the boardroom. Chairs must lead and facilitate to ensure board meetings are structured, productive, efficient and accountable.
Sounds easy, right? It is anything but. The board chair role is challenging and should not be taken lightly, as it entails added pressure and reputational risk beyond what any non-executive director (NED) might face.
What are the reasons someone would want to be a board Chair?
Board chairs face pressure from various angles and typically spend two to three days a week dedicated to the role. However, they are usually compensated 50% more than the non-executive directors they work with. However, a board chairperson can spend years building their career and reputation, only to have it demolished relatively quickly.
Aspiring directors often face challenges as they underestimate the workload and responsibility of chairing boards. These challenges include:
- The board chair’s workload is significantly higher than that of a non-executive director’s, and it can increase even further during a crisis.
- The role of chair carries greater responsibility and experiences considerably more pressure than that of a non-executive director.
- In some organisations, the added workload and responsibility of being chairman do not come with additional powers or significant extra fees.
- From a legal standpoint, chairs hold the same power as the other directors. However, they may have additional responsibilities and performance expectations. They then need to rely on their ability to influence others.
Benefits of taking on a board chair role include:
- Higher remuneration than a non-executive director
- The opportunity to represent the organisation in public
- A definitive element to develop or complement a portfolio career
- The self-fulfilment of leading a team to achieve common goals
- Being a significant contributor to the success of an organisation
- Serve an organisation, industry or cause that you are passionate about
- Makes you a better leader
- Makes you a better, more strategic communicator
- Further your executive career
- Opportunities to network at a level not afforded to you in your executive or non-executive roles
Here, I should stress that the pursuit of status should not be the reason someone considers the role of board chair.
What are the characteristics of an effective board chair?
It is often stated that a chairman is naturally equipped or ‘born’ with certain qualities, although this is not entirely accurate. Numerous attributes contribute to being an exceptional chairperson; some are innate, but many are gained from experience. Identifying an effective board chair is straightforward, but determining their shared qualities is more challenging.
You should consider some common attributes when determining suitability and applying for a board chair role:
- Personal and professional integrity
- Personal strength and resilience
- Interest in the role and governance process
- Emotional intelligence encompasses skills such as tact, diplomacy, and sensitivity
- Impeccable communication skills
- Inquisitive nature with a strong desire to learn and seek answers
- The ability to establish goals and prioritise tasks
- The ability to lead by example
- The ability to influence others without dominating
- Patience to focus on getting things done properly
- A good listener, concentrating on what each director has to contribute
What are the necessary qualifications?
In the UK, no formal qualifications are required to become a Chairperson. In fact, there are no universally accepted qualifications or skills needed. Often, having the desire to be a chairperson, along with the requisite attributes, is sufficient.
In most UK organisations, it is good corporate governance practice for the board chair to be an independent director.
Where to begin, the pathway to a board chair role
Chairing board sub-committees or smaller Not-for-profit boards can be a great way to develop chairman skills and experience. These roles provide an opportunity to enhance strategic leadership skills and become accustomed to a Chair’s duties and responsibilities.
Board committees have different shapes and sizes. Their primary purpose is to advise and guide the board or a similar management group. Committees are formed to focus on a specific topic or task. They review policies, develop strategies, and plan events.
Similarly, assuming the position of deputy board chairman can serve as a pathway to becoming a board chair. It offers the opportunity to showcase your ability and learn along the way. Excelling as deputy chair can increase your visibility enough to secure a board chair role.
The final way to become a board chair is to be a highly effective non-executive director and wait for the right chair opportunity.
What is the process for applying for a board chair position?
The increased frequency of Chair roles being advertised presents a unique opportunity for individuals seeking a board or portfolio career, as Chair roles attract fewer candidates than regular non-executive director roles.
Before applying for a board chair role, there are specific questions you should address:
- What are the motivations and requirements of the relevant organisation?
- Do you possess the necessary or prerequisite skills and experience, such as previous experience as a NED and familiarity with the organisation’s industry or sector?
- Are you the right cultural fit for this particular board and organisation?
- Do you have a solid commitment to the role and a passion for the organisation?
To focus on your goal, start by researching and engaging before applying. It’s best to speak with past non-executive directors to understand the board and organisation. You should be able to find and contact these individuals on LinkedIn. Rocket Reach and Contact Out are both handy tools for researching organisations, identifying individuals and obtaining their contact details.
Engage with the organisation by sampling their products and services. You might consider conducting mystery shopping exercises, visiting their physical offices or sites, or making calls to evaluate various customer touchpoints. This kind of in-person research is impressive and shows you are proactive, intelligent, connected, informed, and engaged. It also reflects your level of commitment, which can reduce any perceived risk of your potential appointment.
Lastly, it is beneficial to speak directly with the advertiser or nominated contact person. Use this interaction to deepen your understanding of the application process and to identify the specific qualities and expectations the client or organisation seeks in their next board chair. These details may not be obvious in the advertisement.
Armed with these critical insights, your next step is to draft a board-level CV and cover letter that clearly demonstrates your suitability for the board chair position.
Conclusion
Being a board chair is more than just a title; it’s a position of leadership and responsibility. It entails effective communication, strategic thinking, and the unity of diverse perspectives towards a shared objective. As a board chair, you can make a significant impact, shape an organisation’s future, and leave a lasting imprint. If you’re prepared to take on the challenge and lead with passion and purpose, we regularly list numerous board chair roles available to apply for.
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About the Author
David Schwarz is CEO & Founder of Board Appointments – The UK’s leading board advertising and non-executive career support firm. He has over a decade of experience of putting people on boards as an international headhunter and a non-executive recruiter and has interviewed over one thousand non-executives and placed hundreds into some of the most significant public, private and NFP roles in the world.
