Bank of Baroda to hire advisory firm for board evaluation review

The newly-merged Bank of Baroda is looking to appoint an advisory firm for the review of the board evaluation that includes interviewing each board member separately and coming up with a plan of action for the board.

“The Bank of Baroda has decided to engage a consultancy firm to conduct an independent review of the overall effectiveness of the bank’s board. “The review would provide an opportunity to align and prioritize the board’s focus on critical issues,” the lender said in a Request for Proposal (RFP) floated on April 10.

The outcome of the review will help enhance the board’s overall effectiveness through improved dynamics and strengthened processes, the RFP stated, adding that this is an annual review of the board, being conducted as per regulatory guidelines.

The review process, which will last six to eight weeks, will involve in-depth interviews with individual board members via in person meetings and a board alignment workshop. The advisory firm is expected to analyse findings and share a preliminary feedback with select members of the board, as per the RFP.

The firm will also define the board’s vision and agree on the action plan for the board. This also includes the evaluation of independent directors.

The last date for submission of the RFP is May 2.

The bank’s board has 12 members. Former Finance Secretary Hasmukh Adhia is the non-executive chairman.

On April 1, Vijaya Bank and Dena Bank merged with Bank of Baroda to create the country’s third largest lender. As per analysts, the impact of the merger, orchestrated by the government last year as a part of its efforts to consolidate state-run banks, will be closely looked at in the lender’s financials going forward.