Are non-executive directors capable of fulfilling the role given to Essay

Are non-executive directors capable of fulfilling the role given to them in the UK Corporate Governance Code - Essay Example On executive directors do not give the same continuous attention to the business of the day of a company but should however show similar commitment as the executive directors (Council, 2010). The functions of the executive directors are well spelt out as they are aimed at providing an independent view about the company which differs from the day to day insights and activities. As part of the board of a specific company non executive directors should manage to bring: independence in their view of how the operations are run in the company, impartiality, wide experience in the activities a company undertakes and personal qualities that will add positive value in the company. The key responsibilities of non executive directors generally depend on the direction of the company and therefore the board seeks their opinion on issues such as: strategic direction-as an outsider they are considered to have a better objective view of the issues affecting the company than executives .In strategy formation they are constructive critics who provide a creative and informed contribution in managerial decisions. Monitoring of the performance of key executives is also an essential role they undertake and therefore address concerns as they arise. They are take part in auditor ensure the accounts are properly put in place. As non executives they should be able to ask any questions of any financial structures that have been put forward by the management (Council, 2010). The governance code of the UK which is related to corporate is a set of standards of good practice in relation to board of director’s leadership and effectiveness, remuneration, degree of accountability and its relations to the shareholders. The UK corporate governance code is divided into main principles and supporting principles that help in advancing its provisions. Leadership is