Non-Executive Director

What is a Non-Executive Director?

A non-executive director (NED) is a board member who doesn’t take part in the company’s daily operations. Their role is to provide independent oversight, challenge executive decisions, and contribute strategic input.

Think of it like this…

They’re the “outside eyes” on the board — involved in big-picture thinking, not the day-to-day running.

Why does it matter?

  • Adds independent perspective to decision-making
  • Brings experience, networks, and credibility
  • Strengthens governance and accountability

Common misconception

A NED is not less responsible than an executive director — they have the same fiduciary duties under the Companies Act.

Best practice

Choose NEDs who complement your executives’ skills and understand your industry.

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