The
Board
of Directors conducts an evaluation every
year to improve the performance of the Board and its cooperation
with Executive
Management .
The Board evaluation process includes all members of the Board of Directors and Executive Management. The chair of the Board has the overall responsibility for conducting the yearly Board evaluation. The evaluation is facilitated every third year by external consultants, who interview all members of the Board of Directors and Executive Management as well as the secretaries to the Board and the Board committees. For the subsequent two years, the evaluation is facilitated by the secretary of the Nomination Committee and is based on written questionnaires to all members of the Board of Directors and Executive Management. The process, whether it is facilitated internally or by external consultants, evaluates topics such as Board dynamics, Board agenda and discussions, strategy, culture, executive succession, Board composition, succession, potential over boarding and training as well as the performance of the Chairmanship and the Board committees. In addition, each individual member of the Board of Directors and Executive Management is provided with feedback from all other board members and executives on their individual performance. The evaluation is conducted on an anonymous basis. Ratings and comments to individuals are only shared with that individual and the chair in an anonymised version, while the remaining ratings and comments are consolidated and shared with the Board members and executives in an anonymised version.
In 2019, the Board evaluation was facilitated internally and, in general, revealed good performance by the Board and good collaboration between the Board and Executive Management. The process also resulted in continued focus on the implementation of the R&D strategy, on commercial execution and on being a sustainable company.
The Nomination, Remuneration, Audit & Research
& Development Committee also conduct an annual evaluation.
The evaluation by the Committees is based on written
questionnaires.
The performance of each executive is continuously evaluated by the Board, and once a year the chair of the Board also conducts a formal interview with each executive.
