Compliance and Conviction Overview

Compliance and Conviction: The Evolution of Enlightened Corporate Governance, is as much about Extreme Personal Leadership as it is about corporate governance. Because, extreme personal leadership is the cornerstone of enlightened corporate governance. When independent board members work effectively with the senior management team, this enlightenment will accelerate the growth of long-term shareowner value.

    “... Based on his 30 years of corporate experience, including two decades in the boardroom, his persuasive
    message is the foundation for building long-term shareowner value.”
    — Charles O. Holliday, Jr., Chairman & CEO, E.I. DuPont de Nemours & Co.

     “This thoughtful, well-written book is an indispensable resource for participants in the current debate over
    corporate governance.... fascinating.”
    — Anne Fisher, Senior Writer, Fortune Magazine

    “Compliance & Conviction delivers a comprehensive, yet forward-looking, analysis of many of the significant
    issues challenging corporate directors ... the book is both provocative and encouraging.”
    — Sidney Taurel, Chairman & CEO, Eli Lilly & Co.

     “The author delivers a captivating message, with a refreshing attitude that encourages our resolve to go
    beyond compliance...”
    — Roger M. Kenny, Managing Partner, Boardroom Consultants

Extreme Personal Leadership should be omnipresent at the very top of every corporation. That means: It should start with the board of directors. When true enlightenment does occur, it will emanate from the top, the board of directors, and generate excitement and a strong force of energy throughout the entire leadership team.

The board of directors is responsible for establishing the corporate governance base line for the company. Their most pivotal role is to hire the Chief Executive Officer (CEO). The board members should start by identifying, selecting, and nurturing the best-qualified persons available to lead the company to greatness. There is neither need nor room for compromise...anything less than a pursuit of excellence should be unacceptable.

Today, as highlighted by several major corporate disasters, such as Enron, WorldCom, Global Crossing, American Insurance Group (AIG), TYCO and others, it is important for everyone to have a basic understanding and appreciation for extreme personal leadership and enlightened corporate governance.

Whether you are a highly trained and skillful investor on Wall Street, in New York City or a freshly minted journeyman pipe fitter in Houston, Texas, what happens inside the boardroom can create significant consequences for you.

As discussed in our other book, Corporate Rise: The X Principles of Extreme Personal Leadership, preparation is the key to success. Without preparation, you have no knowledge. Without knowledge, you have no power. And, without power, you have no base from which to compete.

Corporate governance, in general, has become the topic de jure during the past few years. Partially due to the fact that many of the negatively affected persons had limited knowledge of the corporate governance environment and perceived even less power to influence the outcome.

However, while the level of interest and amount of attention on corporate governance may be at an all time high, the major issues of concern are quite common and tightly linked to the past. While the value generated for the shareholders has not been shared equally among all investors, in aggregate, the investors have been quite pleased with their returns when measured against other investment opportunities.

Overall, the leadership of corporate America is rock solid and in the hands of very qualified and dedicated men and women. They are committed to maximizing the returns for their shareholders and working for the betterment of all their stakeholders.

In general, corporate America continues to be quite healthy. We are not plagued with weak leadership at the top of our companies. However, we do have some serious issues that are being addressed in earnest. We are confident that the strength of the best leadership in corporate America will weed out most of the obvious bad seeds.

Most of the issues surrounding "good corporate governance" are not new. There have been major concerns about corporate leadership for years. There are numerous articles and references that highlight examples of poor corporate leadership. While the positive examples are not frequently presented, I believe they outnumber the negatives by a disproportionate margin. There are many examples of great leadership and performances by management and the boards of directors that go unnoticed by the general public, but are much valued and appreciated by their shareholders.

Today, investors, employees and of course, many directors are concerned about the board's ability to execute its responsibilities in the most effective manner. This book reviews some of the most significant issues facing corporate directors during the past three decades. It also highlights the major trends in corporate governance during this transitional period. A major focus is placed on the past ten years, a period of significant transition in corporate governance. It offers the general public some insight to a very esoteric topic. Likewise, this book will help enlighten current business leaders and guide them toward creating future agendas aimed at reforming corporate governance to meet the challenges of the coming era.