The Institute of Chartered Secretaries (ICSA) has updated its guidance for organisations on the topics and documents they should consider when designing an induction programme for newly appointed directors.
The ‘Higgs Suggestions for Good Practice’ published in 2003 stated that the induction process should aim to achieve three things which remain relevant and these are included in the revised guidance. These are that a director should
- build an understanding of the nature of the company, its business and the markets in which it operates
- build a link with the company’s people
- build an understanding of the company’s main relationships
Two further elements are covered, however, in the revised guidance: ensuring an understanding of (i) the role of the director and (ii) the framework in which the board operates.
The revised guidance note and press release can be found here.
The ICSA is in the process of updating its suite of guidance notes which were previously appended to the Higgs Guidance. The Higgs Guidance was itself replaced by the Financial Reporting Councils’s ‘Guide to Board Effectiveness’ in March 2011. A link to this guide can be found here.