Practices of Strategy Committees of Supervisory Boards

Izabela Koładkiewicz; Małgorzata Kuczara; Michał Zdziarski

Titles

Abstract

Background. This article presents the very first research on strategy committees in the context of Polish supervisory boards. Consequently, it is also the first study on strategy committees of supervisory boards conducted in the European, two-tier system of corporate governance.

Research aims. The article aims to explore practices of strategy committees in supervisory boards, including factors conditioning the formation of a committee, criteria for membership selection, as well as functions, tasks, and operations that are undertaken by the committees.

Methodology. The research presented in this paper was conducted via the method of interviews with 10 board members selected according to the stratified sampling, having both vast experience in the function of a board member at several companies, and experience of participation in a strategy committee.

Key findings. Their narration suggests that a strategy committee serves as a structural solution supporting the engagement of the board in the company’s strategy process. A strategy committee plays an advisory role for the board, which decides on the final strategy. An opportunity to focus attention on key factors influencing strategy formulation is perceived as a key dimension of a committee’s works. A committee may be permanent or formed ad hoc if a strategic renewal is needed. Critical factors that seem to increase the likelihood of committee formation are the size and complexity of a company.

Background. This article presents the very first research on strategy committees in the context of Polish supervisory boards. Consequently, it is also the first study on strategy committees of supervisory boards conducted in the European, two-tier system of corporate governance.

Research aims. The article aims to explore practices of strategy committees in supervisory boards, including factors conditioning the formation of a committee, criteria for membership selection, as well as functions, tasks, and operations that are undertaken by the committees.

Methodology. The research presented in this paper was conducted via the method of interviews with 10 board members selected according to the stratified sampling, having both vast experience in the function of a board member at several companies, and experience of participation in a strategy committee.

Key findings. Their narration suggests that a strategy committee serves as a structural solution supporting the engagement of the board in the company’s strategy process. A strategy committee plays an advisory role for the board, which decides on the final strategy. An opportunity to focus attention on key factors influencing strategy formulation is perceived as a key dimension of a committee’s works. A committee may be permanent or formed ad hoc if a strategic renewal is needed. Critical factors that seem to increase the likelihood of committee formation are the size and complexity of a company.

Keywords

komitet strategii, rada nadzorcza, strategia, ład korporacyjny, praktyka strategii

References

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Information

Information: International Journal of Contemporary Management, 2017, Issue 16(4), pp. 99 - 118

DOI: https://doi.org/10.4467/24498939IJCM.17.040.8263

Article type: Original article

Titles:

Polish:

Practices of Strategy Committees of Supervisory Boards

English:

Practices of Strategy Committees of Supervisory Boards

Authors

Izabela Koładkiewicz

Kozminski University, Poland

Małgorzata Kuczara

University of Warsaw, Faculty of Management, Independent Unit of Strategic and International Management

Michał Zdziarski

University of Warsaw, Faculty of Management, Independent Unit of Strategic and International Management

Published at: 26.03.2018

Article status: Open

Licence: CC BY-NC-ND

Percentage share of authors:

Izabela Koładkiewicz (Author) - 33%

Małgorzata Kuczara (Author) - 33%

Michał Zdziarski (Author) - 34%

Article corrections:

-

Publication languages:

English

View count: 791

Number of downloads: 1179

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