You may have heard of Non-Executive Directors but many people don’t recognise the benefits they can bring to a small or growing business. Similar to your traditional interim professional, Non-Executive Directors (NED’s) can be assigned to your company on a temporary or contract basis as an independent expert, supplying specialist strategic and project knowledge tailored to your company’s objectives.
What is unique about an NED in comparison to existing executives is that their view of your business and the task at hand is completely impartial and unbiased; essentially looking at your company through a fresh pair of eyes.
5 ways an NED can benefit your business;
The aim of an NED is to open new avenues for growth by providing insight and functional expertise that your current board and strategic team do not possess. As an expert in their field, the NED has a clearer and wider view of the external factors affecting your company and the industry.
The NED is completely open minded and neutral when coming into your business. This means that they can critically and constructively challenge the development of strategy and contribute alternative approaches to company objectives that your board may not have considered.
NEDs focus exclusively on specific board matters and can provide an external view of your company that is unique and detailed. NED’s are not affected by office politics, thus providing an independent view of the company that is removed from the day-to-day running of the business.
NEDs provide a wealth of experience and knowledge in a specific sector that you may not be able to find in existing board members. NEDs have a deep understanding and familiarity of the business environment that your company operates in. Their experience also enables them to advise on appropriate levels of remuneration for executive directors and to make decisions on the appointment of board members where necessary.
NEDs have worked at the highest level in businesses previous to yours and therefore possess a ‘black book’ of industry connections and suppliers to boost sales or improve your operations. Your NED can connect the business and board with networks of potentially useful people and organisations and can represent your company externally to build valuable relationships.