A business forum headed by the chief executive of Islandia-based business software maker CA Technologies is urging corporate boards to alter their governance policies by formally separating the chief executive and board chairman roles – positions often held by the same individual.
The Chairmen’s Forum, founded in 2008 at the Yale School of Management, is a group of 50 corporate chairmen of businesses in the United States and Canada who meet twice a year. It’s currently chaired by CA chief William McCracken, above.
On Tuesday, the forum said corporate boards should adopt language stating that appointing independent board chairmen allows for “clear” board leadership and CEO succession planning. McCracken told The Wall Street Journal on Monday that the forum is “in discussions” with the New York Stock Exchange and the Nasdaq Stock Market about including the separation-of-corporate-powers policy in the exchanges’ listing rules.
McCracken also said he would urge CA’s board, currently led by an independent chairman, to formally adopt the forum’s policy. "It is a much better governance practice," McCracken told the paper.