Strengthen the relationship between the board and the CEO

The CEO plays a central role in translating board intent into organisational outcomes.

In practice, CEO performance reviews are often led by the chair, or by the chair and one other director, on behalf of the board. While this approach can be efficient, many boards recognise that internally led reviews can lack the rigour, structure, transparency and depth needed to support a holistic assessment.

Without an independent process, reviews may rely too heavily on informal judgement, recent events or financial outcomes alone. This can make performance conversations more difficult, particularly where expectations are unclear or the relationship between the board and CEO is under pressure.

A structured, independent CEO performance review provides a disciplined way to assess overall effectiveness, support the chair in leading performance conversations, and strengthen the overall board–CEO relationship.

CEO performance reviews are based on the SCOPE framework, a practical model that covers all the main elements of a CEO's role and responsibilities.

The framework focuses on five interrelated dimensions of performance:

• Strategy and direction, including clarity of purpose and strategic leadership
• Culture and leadership, including values, tone and organisational alignment
• Operations and performance, including delivery of outcomes and use of resources
• People and relationships, including leadership of the executive team and engagement with stakeholders
• Execution and accountability, including follow-through, discipline and responsiveness

Together, these dimensions provide a balanced view of CEO effectiveness that goes beyond financial results alone.

An independent CEO performance review is designed to add rigour while remaining proportionate and board-led.
The process typically includes a confidential survey completed by:

• Directors
• The CEO (self-assessment for comparison purposes)
• Their direct reports (and often indirect reports as well)
• Other stakeholders as required (for example major partners or customers)

The review can be complemented by interviews with the chair and selected directors, and in some cases with senior executives or key stakeholders.

The combination of structured survey data and qualitative interview insight provides a more rounded and defensible view of performance than informal discussion alone. The approach is tailored to the board’s preferences, governance context and the maturity of the CEO–board relationship.

CEO performance reviews are handled sensitively to preserve trust and confidence.

Findings are synthesised into a clear, balanced report and discussed first with the chair, or with the chair and any other nominated directors involved in the review process. This provides a strong foundation for a constructive performance conversation with the CEO.

Following our debrief with the chair, we are often asked to debrief the CEO ahead of the chair and CEO having their private discussion. This means that the CEO can fully reflect on the feedback before discussing this in depth with the Chair. We are not prescriptive about this and will make sure that the approach is modified as needed to fit in with the organisation's context and objectives.

Our goal is to partner with you to follow a feedback process that emphasises clarity, fairness and forward-looking improvement.

Boards value the objectivity and discipline an independent CEO performance review provides.

An external process helps boards move beyond anecdote and individual perspectives, supports the chair in leading more effective performance discussions, and brings greater consistency to how CEO performance is assessed over time. It also strengthens confidence that feedback is balanced, transparent, evidence-based and aligned with the board’s expectations.

Most importantly, it supports a healthier, more productive board–CEO relationship.

Boards commonly use CEO performance reviews:

• As part of an annual or biennial governance cycle
• Following changes in strategy or organisational direction
• To support remuneration, succession or contract discussions
• During periods of heightened complexity, risk or transformation

The timing and depth of the review are guided by board judgement, not compliance requirements.

CEO performance reviews are often used alongside board effectiveness reviews, director effectiveness reviews and committee effectiveness reviews. They can also be conducted separately to fit in with the organisation's governance processes and timetable.

Together, these reviews provide a coherent view of leadership, governance and performance across the organisation.

All CEO performance reviews are conducted independently and confidentially.

Feedback is handled sensitively and shared only with those agreed in advance, ensuring the process supports candour, trust and constructive outcomes.