Several factors go into shaping the performance of directors
WE REFER to the letter "Are busy directors cutting corners or really supermen in suits" by Associate Professor Mak Yuen Teen on Nov 7. We thank him for his feedback on the Singapore Directorship Report.
He has made a fair assertion that we should be extremely cautious about making busy directors role models by linking busy-ness with better attendance and qualifications. We note that he had on previous occasions raised concerns about multiple directorships; we share his concerns in general and have not declared busy directors to be role models.
Like Prof Mak, we are similarly cautious about drawing any conclusion that directors with multiple board seats display or are prone to certain behavioural traits such as arriving late for and/or leaving early from board meetings, are not well prepared for board meetings, or are "fair weather" directors who resign when the company is in financial strife. Such behaviour could equally be found in any other director, including single-seat ones. And how busy a director is would also depend on his commitments in general, in addition to holding multiple directorships.
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