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Pandemic Complicates CEO Evaluations
One of a board’s most important responsibilities is ensuring that the bank has effective leadership at the helm. This oversight role should include a regular evaluation of the chief executive’s performance. Yet, 21% of the directors and CEOs responding to Bank Director’s 2021 Governance Best Practices Survey say their board doesn’t regularly evaluate the CEO. Further, conducting a regular CEO evaluation is a less frequent exercise at smaller banks – just 56% of respondents representing banks below $500 million in assets say their CEO’s performance is reviewed annually. But even for boards that regularly assess the performance of their top…
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