One of the major responsibilities of the board and its support team is to establish whether directors meet the requirements for independence. This is a critical but consuming task, which is why XCEO has established a simple way to securely complete the D&O Questionnaire process via our comprehensive portal, BoardPortal PLUS®. The D&O Independence Questionnaire Review and BASE Analysis are valuable resources for the board and the senior leadership team. Assessing the independence of directors is an important annual event that is not only a US Government requirement, but also an essential metric that shareholders can use to gauge board effectiveness. Thus, assessing Directors and Officers (D&O) independence is about far more than insurance, rather an analysis requiring thoughtfulness, precision and punctuality in order to satisfy the needs of stakeholders. Given the importance of this requirement to the board, the senior leadership team and its constituents, the often consuming process can be efficient and effective when a few key principles are utilized.
XCEO has developed a comprehensive, secure, cost-effective and efficient way to support the company’s efforts to be in compliance with independent rules and proxy disclosure requirements. The directors and officers independence undertaking is a critical requirement which is often time consuming, costly and tedious for the directors as well as the administrative team. With the XCEO Directors & Officers Independence Questionnaire (D&O IQ™) Review, your organization will have access to a secure, confidential, easy to use and inexpensive solution. Likewise, the assessment of director skills and experiences is a critical part of the Proxy/governance process. With our Board Attributes, Skills and Experiences (BASE) Analysis, the board can benefit from a comprehensive and effective process. Whether BASE is utilized for future recruiting, or simply to continually evaluate the composition of the board, this one-of-a-kind analysis will certainly meet the mark.
An inherently complicated process, the capital intensive nature of a D&O can be amplified by the utilization of outdated assessment techniques. However, there are a few essential security, automation and anonymity strategies that board leadership can employ to make it an effective and easy process.