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When evidence of such indicators accumulates, directors will want to exercise their company leadership by considering three questions before deciding on a specific course of action:

1. Are the CEO missteps just an aberration that might well be rectified with some close-in coaching by the board leader?

2. If the missteps are more than an aberration, do they signal that the chief executive is indeed faltering, and if so, what director actions on top of coaching might help reverse the decline?

3. Either way, is the chief executive ultimately capable of strengthening the leadership capacities for the turnaround that is expected by directors ...

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Cover of Boards That Lead: When to Take Charge, When to Partner, and When to Stay Out of the Way

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