Constitution Unit publishes new study on non-executive directors in Whitehall

 

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In 2017, the Constitution Unit conducted the first-ever study of the work of non-executive directors (NEDs) within Whitehall. In this blog post, project leader Robert Hazell and Lucas Chebib, one of the project’s research volunteers, discuss the methodology and findings of the report. 

The Constitution Unit has just completed the first major study of non-executive board members in Whitehall (commonly known as non-executive directors, or NEDs). The report concluded that non-executives are high calibre, committed people, whose expertise is greatly valued by the civil service. However, NEDs themselves often said they find the role frustrating, and feel they could be much more effective if the system only allowed.

The study was carried out over 18 months by four former senior civil servants, with assistance from five research volunteers. The team compiled a detailed database of all NEDs; organised a survey; conducted almost 70 interviews; and tested their findings in private briefings and seminars. The full report is published here; what follows is a summary of the main points. Continue reading

Non-executive directors in Whitehall: how useful have they really been?

The role of non-executive directors in Whitehall departments has developed over recent decades. A new Constitution Unit project, led by former senior civil servants, aims to investigate the role of these outside experts and the impact they have had. David Owen introduces the project and invites contributions from those who have been involved with the work of non-executives.

What role is there for outside expertise in the running of a government department? For some time now in the UK, one way in which such input has been made has been through non-executive board members or non-executive directors. The Constitution Unit is undertaking a project to look at who non-executives are, what they do and the impact that they have had. The work is being led by former senior civil servants Alan Cogbill, Hilary Jackson and Howard Webber. We have felt encouraged following discussions with Cabinet Office, who have expressed interest in seeing the results.

Non-executives: the evolving government approach

Governments have drawn on external contributors for a long time, but the term ‘non-executive’ is thought to have been first used in the early 1990s. In 2005, the Treasury set out guidance on non-executives in its Corporate Governance Code.  The code commented that much what it said of non-executives, as well as of the operation of departmental boards, was new, ‘reflecting an agenda which has developed rapidly’. It recommended that each central government department board should have at least two non-executives, preferably more, with the aim of providing support and challenge.

Following the 2010 election, the use of non-executives developed with the appointment of a lead non-executive for government, former BP chief executive Lord Browne.

This drive formed part of Cabinet Office minister Francis Maude’s wider civil service reform plan for the civil service. He saw non-executives as having a key role in delivering savings, providing the kind of input for which consultants had previously been paid millions of pounds.

Continue reading