Chapter 13 Board of Directors Leadership

The third element of the Governance and Leadership section of the Scorecard is leadership from the board of directors. The term “board” can actually be confusing.7 In this book and the Scorecard, the term “board” refers only to the board of directors—charged with fiduciary oversight responsibilities. For privately held companies, this would be the equivalent of individuals representing the owners. In some cases, those are the owners.

One of the most powerful examples of board leadership comes from Sims Metal Management—the world’s largest metal recycling company. Headquartered in New York City—but traded on both the Australian and U.S. exchanges, Sims has a truly engaged board. In 2015, the chairman of ...

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