Chairs Under Pressure: A New Era of Scrutiny

Chairs Under Pressure A New Era of Scrutiny

The role of the board Chair has always carried weight, but recent shifts in the governance landscape have moved it into unprecedented visibility. Expectations of Chairs now go beyond technical competence and meeting facilitation. They are increasingly judged on their ability to shape culture, lead through uncertainty, manage succession with transparency, and handle complex stakeholder relationships.

With increased visibility comes greater scrutiny. Stakeholders inside and outside the organisation are watching not only what Chairs do, but how they do it. This new era of accountability requires a rethinking of the Chair’s role and a deeper understanding of the pressures shaping it.

Why the Chair’s Role is Changing

Several trends have converged to increase the demands placed on Chairs:

  • Heightened governance standards: Regulatory frameworks and investor expectations now require boards to demonstrate more rigorous oversight of culture, risk, and stakeholder engagement.
  • Increased public interest: Media coverage and social platforms amplify board decisions and leadership conduct, often in real time.
  • Complex stakeholder landscape: Chairs must navigate the interests of investors, regulators, employees, customers, and communities, often with competing priorities.
  • Evolving societal expectations: Boards are expected to address diversity, sustainability, and ethical considerations as core business issues, not optional add-ons.

For Chairs, this creates a constant balancing act between strategic oversight, operational awareness, and public perception.

The Expanding Scope of the Chair’s Responsibilities

Traditionally, the Chair’s role was defined as ensuring the board operates effectively, facilitating debate, and acting as a bridge between the board and the CEO. While these fundamentals remain, the scope has expanded significantly.

1. Culture Leadership

The Chair is now expected to actively shape and safeguard organisational culture. This involves:

  • Setting the tone for respectful, inclusive board dialogue.
  • Holding the CEO and executive team accountable for cultural outcomes.
  • Addressing warning signs of toxic behaviour or cultural drift early.

Culture leadership requires Chairs to be both a role model and a challenger.

2. Succession Planning

Succession is no longer viewed solely as a CEO transition process. Chairs are now responsible for:

  • Anticipating leadership needs across the board and executive team.
  • Ensuring diversity and inclusion are embedded in succession pipelines.
  • Balancing internal talent development with external search.

Mismanaged succession can destabilise an organisation and undermine stakeholder trust, making it one of the most high-stakes responsibilities for Chairs.

3. Crisis Navigation

From regulatory investigations to activist campaigns, crises now unfold in an environment of intense scrutiny. Chairs must:

  • Lead the board’s response with transparency and composure.
  • Ensure decisions made under pressure remain aligned with organisational values and long-term strategy.
  • Manage communication with stakeholders, the media, and regulators effectively.

In crises, the Chair’s judgment is often the determining factor in whether the organisation emerges stronger or weaker.

4. Stakeholder Engagement

The Chair is increasingly seen as the board’s public face. This includes:

  • Engaging directly with major investors and regulators.
  • Representing the organisation in high-profile forums.
  • Listening to employee and community concerns.

This outward-facing role requires diplomacy, adaptability, and a deep understanding of the organisation’s purpose.

Pressures Unique to Sitting Chairs

Sitting Chairs face unique challenges that can intensify over time:

  • Performance visibility: Every meeting, decision, and public appearance is subject to interpretation and critique.
  • Balancing continuity and change: Chairs must maintain stability while ensuring the board adapts to emerging risks and opportunities.
  • Managing board dynamics: Disagreements between NEDs, or between the board and the executive, can quickly escalate if not handled skilfully.
  • Personal resilience: The emotional and reputational demands of the role require significant personal capacity and support.

Without conscious management, these pressures can lead to decision fatigue or reactive governance.

Considerations for Aspiring Chairs

For those aspiring to become Chairs, the evolving expectations create both opportunities and challenges. A Chair’s influence is significant, but the role demands preparation beyond technical expertise.

Aspiring Chairs should focus on:

  • Developing facilitation skills that encourage constructive challenge while maintaining cohesion.
  • Building credibility across stakeholder groups before taking the role.
  • Understanding governance at depth, including regulatory trends and best practice.
  • Demonstrating cultural leadership in current roles to build a track record.

Importantly, prospective Chairs must recognise that visibility is part of the role from day one. Media literacy, communication skills, and resilience are now as important as governance competence.

The New Metrics of Chair Effectiveness

Traditional measures of Chair performance often focused on meeting efficiency, agenda management, and adherence to governance processes. While still relevant, the new era of scrutiny demands additional metrics, such as:

  • Evidence of positive cultural influence within the board and organisation.
  • Successful management of complex or contested stakeholder issues.
  • Clear succession outcomes and leadership pipeline strength.
  • Effective oversight of non-financial performance indicators, including ESG commitments.

These measures require boards to adopt a broader view of what Chair leadership looks like in practice.

Common Pitfalls and How to Avoid Them

Even experienced Chairs can encounter challenges that undermine their effectiveness:

  • Over-reliance on the CEO’s perspective without seeking diverse views.
  • Avoidance of difficult conversations with underperforming directors.
  • Reactive governance where the board is always responding to crises rather than anticipating them.
  • Lack of transparency in succession or stakeholder engagement processes.

Avoiding these pitfalls requires deliberate effort, continuous learning, and openness to feedback.

Strengthening the Chair’s Position

To succeed under heightened scrutiny, Chairs can take practical steps to reinforce their effectiveness:

  • Establish regular feedback loops with board members and stakeholders.
  • Seek external perspectives, including independent board evaluations.
  • Invest in ongoing professional development focused on leadership, culture, and crisis management.
  • Maintain clear boundaries between governance and management while remaining informed about operational realities.

These actions not only strengthen the Chair’s position but also signal to stakeholders that the board takes its leadership role seriously.

 A Role Redefined

The Chair’s role has entered a period of rapid evolution. The combination of rising stakeholder expectations, increased public visibility, and expanding governance responsibilities means that Chairs must now operate as cultural leaders, succession stewards, and strategic navigators.

Aspiring and sitting Chairs alike must recognise that the demands of the role go far beyond procedural governance. They require judgement, resilience, and the ability to lead both within and beyond the boardroom.

The most effective Chairs are those who embrace scrutiny, see it as an opportunity to reinforce trust, and consistently align their actions with the long-term health and purpose of the organisation.