Non Executive Director FAQs

We are often asked what are the specifics of a Non Executive Director (NED) role within an organisation and this page aims to answer common questions regarding what it means to be an NED.

Our experience has given us key lessons that provide the understanding to lend expert advice and guidance on the Non-Executive marketplace, as well working with Executives seeking either their first NED role or seeking to extend their portfolio.

Frequently Asked Questions

If you are considering being a Non Executive Director, or you want to know what to look for when hiring for non-execs, then download our guide below:

NED top tips guide

A non-executive director (abbreviated to non-exec, NED or NXD), independent director or external director is a member of the board of directors of a company or organisation, but not a member of the executive management team.
Part of the role is to provide an impartial and independent view to support the executive team. The non-exec is to be engaged with the businesses landscape but with a certain detachment although they share the same legal responsibilities as the executive directors. This allows a different perspective to provide valuable insight into the business and the surrounding landscape.
Instead of being involved in the day-to-day operations of the business, they are employed for their neutral oversight and reach. They can give a specialist advice regarding corporate governance, risk management and succession planning for an organisation.
Performance:
The NED monitors the executive management and play a key role in succession planning.
Auditing:
The NED has a duty to ensure the company accounts properly to its shareholders, presenting a fair reflection of itself.
Remuneration:
The NED has input towards deciding the appropriate levels of remuneration of executive directors.
Strategy:
The detached position of the NED allows them to survey the opportunities and threats to the organisation.
Communication:
Their contacts and opinions can connect the business and board with networks of useful people and organisations.
Risk:
Ensuring the integrity of financial information, controls and systems of risk management are dependable.
The nature of the NED role requires certain qualities from the candidate for their appointment to be successful. According to research carried out by Roffey Park, the attributes or qualities most desired in a NED are:
“Analytical, Articulate, Confident, Decisive, Honest, Integrity, Good judgement, Persuasive, Self-aware, Emotionally intelligent”
Every client’s situation different and our job as recruiters is to establish the needs of the business and their future plans. The reasons for Non-Exec recruitment are varied but usually fall into one of two categories:
Those looking for transformation and embrace a very different future, by disruption, innovation, and growth
Clients are searching for assured leaders that can provide stability in times of fluctuation
Often a business may be seeking to simply strengthen and diversify their Board skills. Other organisations hire a NED in readiness for some specific corporate activity such as an IPO.
One client said that they wanted a NED to share a drink with around the fireplace and openly discuss the issues that the business was facing. A good NED will identify problems and then the Board can begin to create solutions.
Alternatively, the business may wish to refocus their strategic plans or seek challenge and intervention from an external Director to counter the danger of ‘Group Think’. Our Clients also sometimes seek sector experience or relevant knowledge of a supply chain.
Other key areas for the NED would be to further develop commercial and marketing affairs, strategy, operational management, organisational structure, and corporate governance.
Other NED hires are based on adding top line strategic help to the executive team. Identifying and filling skill gaps within a leadership team can make a huge difference to the effectiveness and profit of an organisation.
Some appointments are based on the clients recognising the importance of robust corporate governance practices, with strict fiduciary adherence with audit and risk at the heart of the search.
One client wanted to ensure that their incoming NED would bring a high degree of independence to the Board, offering guidance, support, challenge, expertise, and an objective perspective on the key matters of financial services. Other key areas for the NED would be to further develop commercial and marketing affairs, strategy, operational management, organisational structure, and corporate governance.
We have excellent knowledge of the executive landscape which allows the team at Moon to quickly identify the right NED for an organisation. The reach of our connections gives our consultants the edge when appointed an NED.
Very few of our roles are advertised, Governance and clear understanding of your legal and fiduciary responsibilities is of huge importance when we look to source credible candidates.

Non Executive case studies

Browse some of our non exec case studies below:

Case Studies

NED

St Paul’s Carnival

The Board of St Pauls Carnival CIC approached Moon Executive Search to conduct a national search campaign to source a new Non-Executive Director to join their board.

Four NEDs

SWIG

SWIG sought candidates with a strong corporate background and experience in a senior Board positions. Key criteria also included start-up experience, familiarity with the funding journey typical of businesses SWIG supports, and fintech sector knowledge.

Multiple NEDs

ACH

They were seeking candidates skilled in IT transformation, social housing management, organisational operations, business growth or customer services. Candidates also needed to demonstrate an understanding of refugee lived experience and have a proven ability to influence decision-making.

Board Members

Selwood Housing

Selwood Housing were seeking two Board Members who could contribute to their vision. They were seeking candidates with skillsets with deep housing sector knowledge and finance.

NED

Partners in Bristol

The Non-Executive Director would serve as an objective and pragmatic advisor to the PiB Board providing valuable insights and perspectives. They would bring a wealth of experience in strategic implementation and organisational growth.

Two NEDs

Pennant International Group PLC

Pennant International were looking for an NED to join their Board. They were seeking a candidate with both emotional intelligence and analytical skills. A creative and flexible thinker who could inspire others to achieve positive change.

Non-Exec Chair & NED

Client Confidential

We were initially tasked with appointing an NED to the Group Board and due to our success with that campaign, the client subsequently invited us to lead on their Non-Executive Chair appointment to help guide the business in the next stage of their development.

Advisory Panel Member

Watershare+

Moon Executive Search were brought in to find further Advisory Board members to an independent advisory panel established to protect the interest of their customers.

NED

Partners in Bristol

The new NED needed a business background and an understanding of employer needs in the City, coupled with a commitment to support employers and help them improve the lives of people of all ages and backgrounds through education and training.

CEO, CFO & NED

Technology Venture Partners

Moon were appointed to support Technology Venture Partners in identifying a new CEO, CFO and Non-Exec leaders for a number of their investments over the years.

Chair and NEDs

SWIG

SWIG were looking to appoint a new Non-Executive Chair to succeed the current chair who was stepping down, as well as this SWIG were looking to appoint an additional NED to the board.

Non-Executive Advisor

MyProcurement

MyProcurement is a start-up focused on increasing customers profits through cost reduction. They wanted to bring an experienced Non-Executive Director into the company to help streamline their processes and to help facilitate sustainable growth for the future.

Multiple NEDs

ART Business Loans

ART was looking for Non-Exec Directors to join at this exciting and challenging time, with their ambition to grow, both in terms of scale and impact. The positions offered successful individuals the chance to play a leading role in supporting the growth of the business and also assist transformation of their borrowers.

Two NEDs

Client Confidential

This client is a global high-end luxury consumer brand with a world-class offering and reach. They came to us to review their consumer and digital offering and instructed us to manage a European search at Board level to bring in two new Non-Exec Directors. The aim was to help position the business as number one in its sector.

Multiple NEDs

Babbasa

Babbasa were looking for several new Non-Executive Directors to join their board. We were particularly interested to talk to candidates with national networks and knowledge of product, technology, finance and legal within scale-up businesses, and / or experience working within the charity sector.

Chair, NED and Independent Committee roles

Brighter Places

Brighter Places are committed to providing homes for those who need them most. To help achieve their ambitions they sought a new Chair of the Board, Non-Executive Directors and an Independent Committee Member on Governance and Remuneration Committee.