Corporate Governance: One-tier versus Two-tier Boards

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Corporate Governance > Best Practices

Jaap de Jonge, Editor, Netherlands
Somebody asked me the other day for the differences between the two main corporate governance systems (1-tier and 2-tier boards) existing today as well as the way they're heading. I couldn't find a reasonably concise overview anywhere, so I created the summary below. Please note that the precise characteristics of any of these governance models depend on the jurisdiction of the company concerned, and the implementation in the company concerned. Also corporate governance systems are changing constantly to reflect changes in the way society sees corporations.

Source: 12manage.comCharacteristicsOne-tier Boards (also "Unitary model")Two-tier Boards (also: "Dual model")OrganizationOne-layered board structureTwo-layered board structureCompositionThere is only one single Board of Directors, composed out of both executive directors as well as non-executive directors. In the classic form, the executive directors used to (...) Read more? Sign up for free


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  Jan Riven, Consultant, Canada
 

One-tier versus Two-tier Boards

This is a great compilation of the key characteris (...)

  Jaap de Jonge, Editor, Netherlands
 

One-tier versus Two-tier Boards

Thanks Jan for your good question about the role o (...)

  E Benshetler, Project Manager, United States
 

CEO Duality in One-tier Boards

Excellent summary! Two-tier boards seem to be pre (...)

  Volker Potthoff, Director, Germany
 

One Tier versus Two Tier Boards - Functions

I would like to add that there is an important dif (...)

 
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