Cyber risk to date has featured on many boardroom agendas. Sometimes as a regular item, sometimes buried deep within the overall risk reports. The board are charged with creating the strategy and accounting to the shareholders for company performance. Naturally, risk management features significantly in most companies. Large companies are usually more sophisticated at monitoring…
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On 15 January 2018 Carillion plc was forced into liquidation. Prior to its demise, Carillion was a multinational construction services and facilities management company with headquarters in Wolverhampton, United Kingdom. Carillion, prior to its liquidation, had liabilities of about £7 billion, was the second largest construction company in the UK, was listed on the London…
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The collapse of Carillion has reignited debate about the effectiveness of non-executive directors. Specifically, the report issued by the Parliamentary select committee in May outlined the role of Carillion’s board of directors in the collapse of the company. As the Professional Body for the non-executive director and board member community, NEDonBoard calls for non-executive directors…
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On 13 June 2018, a public consultation was issued by the FRC on the draft Principles of the Coalition Group led by James Wates CBE on corporate governance for large private companies. The consultation will close on 7 September 2018 and the final Principles and guidance will be published in December 2018. As the Professional…
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This year we published our Board Best Practice Guide to the Audit Committee. The Audit Committee’s main rule is to hold management to account. It acts as an early warning system for the board and is independent of the Finance Director and CEO. As you know, this is the third line of defence: it provides…
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NEDonBoard received very positive feedback from its recent Digital Expertise in the Boardroom event, which we held on Tuesday 12th June. Passionate experts discussed blockchain, artificial intelligence and cyber risk in the context of the boardroom. Attendees not only gained insight into these topics but contributed to the debate through engaged conversations with our speakers…
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In the past few weeks, we have asked our community to share the lessons that they have learned from the high profile collapse of Carillion. Engagement from the NEDonBoard community has been great and we thank you for sharing your views. In this article, we are publishing some of the answers we received to our…
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The report of the select committees on the collapse of Carillion, released on 16th May highlighted a few of the fundamental considerations that non-executive directors, chairs and senior executives (members of the board of directors) should have in mind when they accept their nomination. For members of the NEDonBoard community that have attended our acclaimed…
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The purpose of risk management in financial services is usually defined as to ‘protect and enable’. The ‘protect’ dimension can refer to the franchise value of the business but is mainly about protecting from regulatory intervention. ‘Enable’ has a perspective of value (however defined) and achievement of company objectives. AI-based solutions, leveraging on vast amounts of…
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NEDonBoard quizzed Sir Winfried Bischoff, Chairman of the Financial Reporting Council (FRC), about the FRC’s stance on culture and diversity in the boardroom.
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