Business Studies · Corporate Governance
Which of the following recommendations is NOT aligned with best practices of corporate governance for a public company board?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1The board chair should be chosen from the existing executive directors to ensure they have sufficient knowledge of company operations✓
- 2A non-executive director who has served for over nine years may lose their independent status and should be evaluated or replaced
- 3The board should establish a method to gather views of the workforce, such as appointing a director from the workforce
- 4At least half of the board, excluding the chair, should consist of independent non-executive directors
Correct answer
The board chair should be chosen from the existing executive directors to ensure they have sufficient knowledge of company operations
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