1. 13-1© 2006 by Nelson, a division of Thomson Canada Limited. Strategic Leadership Chapter 13

2. 13-2© 2006 by Nelson, a division of Thomson Canada Limited. Factors Affecting Managerial Decisions

3. 13-3© 2006 by Nelson, a division of Thomson Canada Limited. Strategic Leadership Chief executive officers can gain so much power that they are virtually independent of oversight by the board of directors.Chief executive officers can gain so much power that they are virtually independent of oversight by the board of directors. This is especially true when the CEO is also chairman of the board of directors.This is especially true when the CEO is also chairman of the board of directors. CEOs of long tenure can also wield substantial power.CEOs of long tenure can also wield substantial power. The most effective forms of governance share power and influence among the CEO and board of directors.The most effective forms of governance share power and influence among the CEO and board of directors.

4. 13-4© 2006 by Nelson, a division of Thomson Canada Limited. Exercise of Effective Strategic Leadership