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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBL Exams › Duty of Non executive director
Sir is it the duty of Non executive director to promote positive image of the company or perform his job in a way that promotes positive image of the company.
Or the duty is just limited to protecting the interest of shareholders in the company or board?
Promoting a positive image is arguably an executive function and is not an explicit duty of NEDs.
However, during board meetings NEDs should warn executive directors about courses of action that could harm the standing of the company and hence harm shareholders. Also, the presence of respected NEDs can enhance a company’s reputation.
Thank you sir 🙂