Skip to content

2 July, 2022

Subscribe Advertise About Us
  • My Account
  • Register
  • Log In
  • Log Out

Board Agenda

  • Governance
  • Strategy
  • Risk
  • Ethics
  • News
    • Categoriess

      • View All
      • Board Moves
    • News round-up: this week in governance

      EY caught cheating; paying NEDs; Disney supports Chapek's stand on LGBQT rights; reporting on US...

    • Corporate world urged to show its ‘ethical credentials’

      The public perception of ethical standards in companies has improved little, a survey by the...

    • Executive pay and incentives Half of corporate leaders reject pay as a main driver for ESG

      Pay and incentives are ‘just one part’ of creating the right culture to boost ESG...

  • Insight
    • Categories

      • View all
      • Governance
      • Strategy
      • Risk
      • Ethics
      • Board Expertise
      • finance
      • Technology
    • Whistleblower in a crowd

      5 reasons for boards to implement a whistleblowing solution

      The right policy and reporting channel for whistleblowing increases awareness and offers protection. But the...

    • White-collar criminal in jail

      Into the mind of white-collar criminals

      It is estimated that high-level fraud costs the global economy over US$5trn every year. What...

    • notebook on boardroom table

      5 topics to improve the effectiveness of your board

      How many board meetings result in real progress for your company? Make sure these discussion...

  • Comment
      • View all
    • Man with magnifying glass

      The 30-year itch: time to ditch the UK Corporate Governance Code

      Now that governance has come of age, businesses should be able to innovate within the...

    • notebook on boardroom table The UK needs a code of conduct for company directors

      A formal code of conduct for company directors would signal their willingness to apply high...

    • Why risk perception is vital

      It is easy to see the tragic situation unfolding in Ukraine in terms of a...

  • Interviews
      • View All Interviews
      • Podcasts
      • Webinars
    • Empty boardroom Many executives ‘fail to understand the role and value of boards’

      A recent webinar on board effectiveness discussed the mix of competence and courage required from...

    • Businessman looking at stormy sky Disaster or disruption? Crisis management requires clear definitions

      Identifying and categorising crises, and developing a methodology to deal with them, can help boards...

    • Sir Donald Brydon Sir Donald Brydon on audit reform, career NEDs and board relationships

      While bemoaning the "glacial" pace of audit reform, he hails the pandemic's transformation of communication...

  • Careers
      • View all
      • Selection
      • Board Moves
    • A group of diverse job candidates Diversity business case arguments may deter job candidates

      Performance-based and fairness-based arguments confirm that social identities "are a lens through which contributions will...

    • Directors waiting for an interview Gender diversity warning for FTSE All-Share Index

      Report from Women on Boards and Protiviti reveals half of FTSE All Share companies outside...

    • A group of directors in a boardroom Women take 54% of FTSE 350 board roles but fail to win ‘top jobs’

      Just 19% of chair, chief executive, chief financial officer or senior independent director roles went...

  • Resource Centre
      • White Paper Downloads
      • Book Reviews
      • Corporate & Advisory Services
    • Stakeholder Engagement: A Roadmap for UK Plc Boards

      This guide aims to provide directors and their colleagues with advice on how to ensure...

    • Board Duties in Ensuring Company Engagement with Affected Stakeholders

      This guidance note gives a brief overview of the role of corporate boards of directors...

    • C-Suite Barometer 2021

      At the end of 2021, Mazars surveyed over 1,000 executives around the world for its...

  • Events
  • Search by topic
    • Governance
    • Strategy
    • Risk
    • Ethics
    • Regulation
    • ESG
    • Investor Relations
    • Selection
    • Board Expertise
    • finance
    • Technology
  • Magazine
      • View All
      • Sustainability Works
      • Tomorrow's Leaders
      • Renumeration Tightrope
      • Governance Ascendance
      • Sense In Sustainability
      • Invisible Enemies

Sir Donald Brydon on audit reform, career NEDs and board relationships

by Gavin Hinks on November 26, 2021

While bemoaning the “glacial” pace of audit reform, he hails the pandemic’s transformation of communication between boards and employees.

Sir Donald Brydon

Progress on reform of audit has been “glacial” and involved “five wasted years”, according to the author of one of the critical reports underpinning a drive to transform the sector.

Sir Donald Brydon made the remarks in an exclusive interview with Board Agenda to mark the launch of the 2022 Non-Executive Director Awards and to explore the changing role of non-executives. Sir Donald was the winner of the 2021 Lifetime Achievement Award.

Sir Donald’s report, published in December 2019, followed three years of investigation prompted by a number of big scandals, and called for the creation of a new audit profession and reforms to address the content and quality of audit.

Asked to highlight one reform he hoped would eventually come through, Sir Donald said: “I don’t want to call out individual pieces. I want to say there has to be holistic reform because it’s clear people do not believe audit is fit for purpose today. Though there are super people doing super work to the existing rules.”

He added there were “hopes” reform would come through “but it’s timing is glacial. If you think about parliamentary time, it’s possible to imagine this will be talked about when the next election is called. And we’ll have seen five wasted years.”

Non-executive directors and pay

Reflecting on a career that included chairing the London Stock Exchange, Royal Mail and software giant Sage, Sir Donald also revealed concerns about the development of the non-executive position into a “career” role with concerns about pay.

“If the fees are what drive you to be a non-executive director,” said Sir Donald, “you’re unlikely to be very independent, because you’re dependent on keeping your nose clean, not just for this job, but for the prospect of getting another job. And I think that’s quite a worrying trend.”

Sir Donald observed the biggest challenges during his career had come from the development and expansion of regulation; the rapid evolution of technology (“technophobes do find it hard now to be serious directors of major companies”); and the shift to stakeholder governance.

But the pandemic has transformed workplace relationships, he said. “One lasting consequence of the pandemic is we will not be able to go back to a world in which there was poor communication with our workforces.

“And I think the relationship between boards and the entire company will probably have changed for the better as a consequence.”

You can find out more about  The Sunday Times NED Awards here. Nominations are underway and accepted until Sunday 5th December.

  • Facebook
  • Twitter
  • Google+
  • LinkedIn
  • Mail

Related Posts

  • Audit woes and reform wrangles
    September 19, 2018

    A fierce debate is underway over the future of audit. Could it be resolved with an independent body appointing company auditors?

  • Conservatives focus on executive pay and audit reform
    November 25, 2019
    Tory manifesto, Labour manifesto, Lib Dem manifesto, general election

    The Tory manifesto is light on governance pledges compared with the detailed—and sometimes controversial—proposals from Labour and the Liberal Democrats.

  • Thomas Cook review urges action on audit reform and bonus clawbacks
    November 5, 2019
    Thomas Cook plane

    Business committee report into travel firm collapse highlights the lack of progress on audit and calls for strengthened provisions to claw back bonuses.

  • Board moves at Zurich and Toshiba
    April 6, 2018
    Michel Lies

    Michel Liès takes the Zurich chair after a long career at Swiss Re; and Toshiba looks to improve its fortunes with an external chairman and CEO appointment.

For thoughtful journalism, expert insights on corporate governance and an extensive library of reports, guides and tools to help boards and directors navigate the complexities of their roles, subscribe to Board Agenda

audit reform, board communication, NED Awards, non-executive directors, non-executive independence, Sir Donald Brydon

Search


Sign up to our Newsletter

Receive independent news, thoughtful journalism & expert insights about leadership, corporate governance & key boardroom issues straight to your inbox every week.

SIGN UP

Follow Us


 

 

 

 

 

Most Popular

  • The UK needs a code of conduct for company directors
  • Corporate world urged to show its ‘ethical credentials’
  • Half of corporate leaders reject pay as a main driver for ESG
  • Stakeholder pressure increases urgency on ESG
  • News round-up: this week in governance

 


 

Featured Partner Profile

Diligent

Diligent

Diligent Corporation, which was founded in 2001, is headquartered in New York, NY with a European HQ in London. Diligent’s modern governance platform empowers leaders and teams at every level of the organisation to digitally transform and create ...

Featured Partner Resources

Board Transformation 2021: Leadership in Transition

There can be little doubt that the global Covid-19...

Digital Boards: How Technology Adoption is Driving Culture Change and Resiliency

Digital tools proved their worth to boards during ...
EQ 2021 AGM Season report

2021 AGM Season: Successful AGMs in the Pandemic and Beyond

With the impacts of Covid-19 hitting just as the s...
Leadership in AI report

Leadership in AI 2021

This report from Board Agenda and Mazars, in assoc...
Creativity in a Crisis: a Boardroom Map for Innovation

Creativity in a Crisis: a Boardroom Map for Innovation

In the uncertain times at the height of any crisis...
Board Directors Guide to D&O Liability Insurance - November 2020 - AIG & Board Agenda

Board Directors' Guide to D&O Liability Insurance

Directors face liability over a range of new threa...
Leadership-in-Risk-Management-Board-Report

Leadership in Risk Management: Board Report

Board Agenda, in association with Mazars and INSEA...
Director's Guide to Internal Investigations

A Director's Guide to Conducting Internal Investigations

An internal investigation must be handled meticulo...

Global Business Complexity Index 2021

The Global Business Complexity Index 2021 provides...

 


 

ADVERTISE – FREE CORPORATE LISTING

FREE - Add your company profile to our Corporate & Advisory Directory.
ADD

ADVERTISE – PROMOTE YOUR REPORTS & WHITEPAPERS

FREE - Add your company profile to our Corporate & Advisory Directory.
Add Resource

Register Free

Register to receive free article views, selected resource downloads, and all the latest news alerts straight to your inbox. Register


  • Editors & Contributors
  • Corporate & Advisory Services
  • Media Marketing Solutions
  • Contact Us
  • Careers
  • Board Director Network
  • Terms & Conditions
  • Privacy Policy
  • Cookies
  • Sitemap
|