The controversy surrounding the departure of Albert Manifold as chair of BP may yet indicate that governance processes at the UK energy giant are working, according to boardroom experts.

The opinion comes as the Financial Times reports concern among investors that the search for a new chair will be supervised by senior independent director Amanda Blanc, just eight months after she oversaw the process that appointed Manifold.

Peter Swabey, policy and research director at the Chartered Governance Institute UK & Ireland, argues Manifold’s departure could be viewed as the result of governance in action.

“If reporting is borne out, BP’s handling of the removal of their chair may point to governance processes working as intended under pressure.

“The situation highlights the critical role of an experienced company secretary in enabling boards to act on serious concerns.”

Swabey adds the evidence is not yet public to allow sound judgment about whether Manifold’s exit represents “failure” or governance “functioning effectively”.

But he adds: “Over time, the handling of the situation—including the speed and decisiveness of the response, with the senior independent director speaking on behalf of the board—will be a more meaningful indicator and can be read as governance working as intended.”

Manifold was ousted from BP last week. A statement issued by the company said: “This follows serious concerns raised to the board related to important governance standards, oversight and conduct.” BP offered no extra detail at the time.

Blanc check

The FT says “multiple City figures” have told reporters that Blanc’s involvement in the last search has undermined her leadership of a new appointment effort.

But the paper quotes interim chair Ian Tyler saying Blanc will lead the hunt for a new chair “at the request of the board” and the search would be “rigorous”.

Blanc, chief executive of the insurer Aviva, is no stranger to controversy. She has spoken out over misogyny she encountered during an Aviva AGM in 2022.

She later told The Times: “What needs to happen is there needs to be more females in more senior roles, it’s as simple as that, so that it becomes more of the norm.”

Although Meg O’Neill is now in place as CEO, BP has also struggled with settling its leadership issues. Manifold was appointed to replace Helge Lund who departed after the exit of CEO Murray Auchincloss amid concerns about lacklustre performance following a switch to focus on renewable energy.

Auchincloss replaced Bernard Looney, who stepped down following the emergence of undisclosed personal relationship with colleagues.

BP will continue its search for a new chair under close scrutiny. It remains one of the biggest jobs in the energy sector and Blanc will no doubt feel the heat.