Over the years I have noticed that Corporate Governance is about managing cycles:
The multi annual cycle (strategic plan, discussed in the board and management team, in the annual strategic meeting)
The annual cycle (year plan, annual reports, discussed in the board and management team meeting on yearly planning)
The quarterly cycle (quarterly report, discussed in the board and management team)
The monthly cycle (monthly report, discussed in the management team and on the work floor)
The weekly cycle (weekly report, discussed in the management team and on the work floor)
The daily cycle (daily reports, discussed on the work floor)
As overseer your involved from the multi annual cycle till the quarterly cycle. That explains why the board of overseers, in a two tier system, has about five to six meetings a year.
The CEO is involved in all cycles.
Steering is, to master the cycles. Because the cycles repeats, we can continuously improve our performance, by learning from the past.
It is a good feeling to know, that you will have a chance to better yourself. It is not a good idea to fire someone after only one cycle. It is better to see if a person improves after every cycle.
As you know there are two types of structures to oversee an organization. The one-tier and the two-tier. The one-tier unifies the CEO and the board of overseers. The two-tiers separates the CEO and the board. In Curacao we have the two-tier model. The overseers have two, somewhat conflicting roles: to oversee and to advise the CEO. These two roles are often not well understood and at the origin of conflicts.
What do you think?