On 15 July, our Managing Director, James Beck spoke at a Cooper Grace Ward, Solicitors and Effective Governance event. The theme for the event was ‘Using the new ASX Corporate Governance regime to add value’. James spoke about the new Recommendation 2.2 (A listed entity should have and disclose a board skills matrix setting out the mix of skills and diversity that the board currently has or is looking to achieve in its membership) from the ASX Principles – and shared with the group the Effective Governance Competency Framework.
This framework seeks to remove the subjectivity from individual director’s self-assessment of their own skills base and has been used successfully by many boards since its development. It also provides a benchmark competency framework to aid succession planning. This allows potential directors to self-assess against the framework and makes recruiting the right directors for the board easier, since the board has thought about what skills it needs and the potential director knows what the board requires.
You can find a copy of the presentation slides here.