There is a growing unrest between my MD and the Board of Trustees within the company. We are a charitable company, therefore the board are voluntary.
The board wish to take a more active role in the management of the company. However, this goes against our governing document. The Managing Director has written to the Chair voicing his concern about a creeping re-definition of what the board is and does.
There is the added complication, that I have recently been promoted to HR Business Partner by the Managing Director and his deputy within the company in his absence. The Board does not approve this appointment. However, it clearly states within our governing document that the Managing Director proposes strategy and the day to day management of the company is the responsibility of the senior management team. The Board only get involved in the Recruitment of the MD.
The Chair of the Board has requested that the MD withdraw everything in writing that the MD has submitted to him, concerning both my appointment and the MDs concerns around the way the board is currently being run. I do not think this is ethical and I believe opens the MD up to great risk professionally.
I would appreciate peoples opinions on this? I am unclear what the Chair of the Board is trying to achieve at this stage, however, not entirely happy with the way it is being handled.
The outcomes I am foreseeing without intervention are the following:
MD forced to resign - Not at all good for the company!
Me forced to resign - Better for the company, not good for me!
What would you do in my position?
Jen
Replies
Crikey! As an HR Manager in a Charity I fully understand the situation, but cannot grasp what the Chair is playing at!
We are perhaps fortunate in that our Trustees are clear that they do not get involved in operational matters. The Board is there for Policy matters etc.
In the situation you describe it seems to me that the problem is the breakdown in professional working between the Chair and the MD. It's a difficult situation to deal with, as in effect there is no higher step to take if to. It's been a while since your post, so I'm guessing it's been addressed now? I'd be interested to hear of any solutions/movement.
My thoughts would have been to suggest an external mediator perhaps?
Steve
Hi Steve, good to hear from you. Its great to hear from someone who also works with Trustees. You are correct, it is a complete breakdown in professional working between the Chair and MD. Unfortunately the situation is ongoing. I have been liaising between the MD and Chair and we are now involving an external mediator, which in my view was and is the only way forward. Unfortunately the situation remains unresolved and currently, as I write, I am now the interim MD while a resolution is being worked towards.
I am working very hard to maintain morale and calm the rumour mill within the company while managing the requirements of the board at this time.
The long-term outcome remains unclear.