Business Standard

Directors must act on signals

Every recent case of corporate governance failure had developed through a trail of early signals

independent directors

R Gopalakrishnan
How do you deal with a high performing CEO who is arrogant, in-your-face and cocky? Watch very carefully for prodromal signals and act on the 5Cs: Consider, consult, counsel, coach and, if all fail, then confront. 

Before any disaster, there are prodromal signals, which portend a development. For example, in Newark, USA, recently, the municipal water tested positive for lead. Despite this, the insensitive and defensive mayor wrote to reassure the public, followed by a condemnation of the "false statements". The federal government heavily intervened to reverse the mayor last week. Another example: In 2011, John Looker, suffering from brain cancer,
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of or the Business Standard newspaper

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Aug 30 2019 | 9:36 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers.

Register to