Giving you a NED start
Prospective Non-Executive Directors (NEDs) are now seen as multi-skilled professionals, and candidates face increased competition for their roles. Louise Cooper, Chief Executive of the Non-Executive Directors Association, offers ten tips on becoming a NED
1. Why you should consider becoming a NEDThere are a variety of reasons to become a NED. Many people have gained a lot of experience and want to continue working in a business environment. Others may have worked in one type of business to executive level and want to do something different. A NED role is also a great way to build a portfolio of roles in different organisations or give something back to an industry sector you have expertise in.
2. Start with small stepsMany aspiring NEDs may not be ready to dive straight into a demanding NED role. Instead, Cooper recommends they start to develop ‘boardroom’ skills by becoming a governor at a school, or by taking a trustee role at a charity that interests them.
3. Set clear objectivesNEDs have to be clear about what they are looking to do. If your experience has been in charities and the not-for-profit sector, you are unlikely to become a NED at a FTSE 100 company. The key is matching your experience with the role and having clear objectives.
4. Tailor your CVNEDs should not just produce a traditional CV that lists experience by rote. Instead, you need to think about some of the key traits and attributes that companies are looking for. In many cases, this means demonstrating how you motivate people, have skills in negotiation, can communicate at different levels and so on.
5. Understand the roleLearn what the NED position you are considering means. A lot of people come at it from being an executive, and still like to get involved in the detail. The problem is, when you are a NED you do not always have access to the detail – you need to operate at a more ‘strategic’ level.
6. Emphasise your experienceIf you are an expert in a number of areas and are good at getting your point across, emphasise this in your interview. The problems associated with the 2008 financial crisis have highlighted that boards of directors need a broader range of experience and an ability to challenge the status quo.
more ‘strategic’ level.
7. Raise your level of networkingProspective NEDs must network, network and network. The trick to finding out about the right opportunities is to adopt a methodical approach about who can be of help. Think about who can help you and whom you can approach to ask for help, and especially consider reactivating past contacts.
8. Find a mentorMentors are great at acting as a sounding board in finding out what roles might be suitable. They may also be good at helping you develop your skills, particularly with respect to how to present yourself as a ‘professional’ NED.
9. You need persistence - and a little luckGiven the increased demands to rotate NED positions, there is a push to expand the pool of potential NEDs. Often the problem is getting the first role. Someone needs to give you that break, but you need to make it easy for them to do so by promoting yourself and impressing contacts and potential employers.
10. Do not underestimate what is requiredNEDs needs to devote much more time to the role and preparing for meetings than previously. In the past, a quarterly meeting might have been a low-key affair. Nowadays, NEDs face both greater demands and increased expectations. It is clear that the picture of a ready-to-retire City executive relaxing into an easy life as a NED has fast become a thing of the past.
This is an edited version of an article that originally appeared in the June 2014 print edition of the Review.