View from the Institute
Let’s stop the rhetoric and implement a p l a n n e d approach to r e f o r m i n g appointments to State boards.
Through all the political jockeying
we have seen in recent weeks, there is one issue that all parties appear to agree on, the need for reformof State board appointments. With the arrival of a new Government comes a window of opportunity to demon- strate real commitment to reforming the process and putting in place long- term solutions that will deliver transparency, accountability and real change in the system. We need to completely overhaul
the way in which appointments to State boards are made and if future Governments want to avoid charges of cronyism, cross-directorships and conflicts of interest with regard to board appointees, then introducing a fully transparent process, independ- ent of Government and the political system, is the only way to do that. It is an assumption to suggest, as
some political parties have, that appointments made by an Oireachtas committee will be enough to increase transparency. Firstly, this presupposes a level of collaboration and agreement among all members of the committee, when in reality this may be difficult to achieve and still lead to decisions being made along partisan lines. Secondly, such a proposal assumes
that the committee has the requisite skills and the level of expert knowl- edge and understanding needed to ask the right questions of potential candidates. Thirdly, public interview before an Oireachtas committee will only serve to deter highly capable and qualified candidates from going forward for these positions. Amore fair and equitable approach is to establish an independent State
Boards Appointments Committee, which would be fully responsible for all appointments to State boards. The introduction of a dedicated com- mittee, recruited by and operating under the aegis of the Commission for Public Service Appointments, would create a more transparent process and result in better function- ing boards. A panel of interviewers should be
drawn fromthemost expert group of professionally qualified directors, senior public servants and other rel- evant parties. Available State board positions should then be publicly advertised and a list of candidates drawn up for interview by the panel. In addition, each State body should
be required to have a skills and com- petency framework which is amatter of public record, and when appoint- ments are being made to these boards, reference should be made to that framework, particularly and explicitly in relation to the individual appointed. That way we can ensure that the most suitably qualified and appropriate individuals are appoint- ed on the basis that they possess the requisite skills and expertise required by the particular board. Furthermore, as well as meeting
specific skills and competency crite- ria, those appointed to State boards should receive induction training as a rule and appointments should be subject to a minimum standard of training in the areas of corporate governance and board performance. If we want to implement real
reform, then fair and proper consid- eration must be given to how board members are selected and appointed, particularly given the degree of importance and influence of State agencies, especiallymajor ones, to the Irish economy. The time is ripe for us to get this
right once and for all, so let’s stop the rhetoric and demonstrate a firm commitment to implementing an effective system of change.
Maura Quinn Chief Executive, Institute of Directors in Ireland
6 Irish Director Spring 2011
UPCOMING IOD IN IRELAND EVENTS
21 March WORKSHOP Workshop on Risk Management IMI, Sandyford, Dublin 16
Venue:
24 March BREAKFAST BRIEFING Breakfast Briefing presented by Grant Thornton
Venue:
Stephen’s Green Hibernian Club, Dublin 2
7 April BREAKFAST BRIEFING Breakfast Briefing presented by IT Force
Venue:
Stephen’s Green Hibernian Club, Dublin 2
19 April WORKSHOP Workshop on Mergers and Acquisitions
Venue: IMI, Sandyford, Dublin 16
28 April BREAKFAST BRIEFING Breakfast Briefing presented by Mason Hayes+Curran and Drury Communications
Venue:
Stephen’s Green Hibernian Club, Dublin 2
19 May NORTH SOUTH DINNER Kindly sponsored by McCann FitzGerald and Hewlett-Packard Ireland. Guest speaker: Dr Neville Bain, Chairman, IoD UK
Venue: Four Seasons Hotel, Dublin 4
Details and booking forms available from
skirwan@iodireland.ie or call 01 411 0010.
>NOT YET AMEMBER?
To learn about your role and responsibilities as a director and to develop your professional skills, knowledge and expertise,why not joinmore than 1,400 fellowdirectorswho are alreadymembers of the IoDin Ireland. You can also avail of our excellentmembership
benefits including access to the Stephen’sGreen HibernianClub, selected airport lounges inDublin, Cork and theUK, aswell as bespoke director’s personal indemnity insurance throughGlennon Insurance and access to the IoD’sBoardroom Centre. Call us today on 01 411 00 10 or visit
www.iodireland.ie
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