Are they filled with other CEOs? I thought boards were filled with different people concerned with different topics. Where do you see that they're filled with other CEOs?
Just as a quick first check, of the three most influential/connected directors listed on the front page: 2 are ex-CEOs, and the third is a mixture, including having been Obama's ambassador to the EU. How did you see how many are CEOs out of the total?
The website doesn't have an overall table of stats. You yourself noted that 2/3 of the top 3 are ex-CEOs. They might have taken on those directorships when they were still CEOs. They might take on new CEO roles in the future. I think the overall point stands.
It doesn't seem to - 2 of the top 3 people might be ex-CEOs, but that doesn't mean that all board members are CXOs. That's why I was asking how we see it for all board members, and not just the top 3.
> that doesn't mean that all board members are CXOs
Yes even one contrary example would disprove this statement. I thought the original sentiment was boards are dominated by top executives in industry, and not that literally 100% of board members are currently a CEO. The former isn't obviously untrue to me, the latter is easily disproved.
It isn't even necessarily wrong to have mostly CEOs or ex-CEOs on boards. You really do want experienced businesspeople as board members. But that conflict of interest or "class loyalty" should be kept in mind when discussing whether CEO pay is set by a competitive, open market.
I just acquired this belief from throwaway comments in the FT over the years. I do know that generally boards are filled with CxO people, because they tend to have the right experience.