Leading from the Chair: Governance Excellence in Tourism Industry Leadership

Introduction

Assuming the role of Chairman for the Tourism Industry Council of Tasmania (TICT) marks a significant milestone in your professional journey. With fifteen years of board experience, leadership of a local tourism association, and service on the Tourism Tasmania board, you bring valuable perspective to this pivotal position. This transition from board member to Chair represents not just a change in title, but a fundamental shift in responsibility, perspective, and leadership approach.

The tourism industry in Tasmania, like many regions globally, faces unprecedented challenges and opportunities. From recovery after global disruptions to sustainability imperatives, technological transformation, and changing consumer expectations, the sector requires strong, informed leadership at industry body level. As the industry’s primary representative to government ministers, politicians, and key stakeholders, your chairmanship will significantly influence the sector’s direction and success.

This essay explores the multifaceted role of a chairman in the context of industry associations, with particular focus on the tourism sector. It examines the critical relationship between Chair and CEO, governance standards and best practices in the Australian context, and provides guidance on navigating complex stakeholder dynamics. Drawing on examples from the tourism industry globally and insights from respected Australian leaders, this document aims to support your transition into one of Tasmania’s most influential industry leadership positions.

The Chair-CEO Relationship: A Critical Partnership

The Foundation of Organizational Success

The relationship between Chair and CEO stands as perhaps the most crucial partnership in any organization’s leadership structure. Elizabeth Proust AO, former Chairman of the Australian Institute of Company Directors (AICD), described this relationship as “the cornerstone upon which effective governance is built” (Proust, 2018). This partnership functions as the linchpin connecting governance and management—the board’s oversight role with the organization’s operational execution.

For TICT, this relationship will be fundamental to achieving the organization’s mission of representing and advancing Tasmania’s tourism industry interests. The distinct yet complementary roles create a leadership dynamic that, when properly balanced, provides clear direction, appropriate oversight, and operational flexibility.

Delineation of Roles

The Chair-CEO relationship works best when boundaries are clear but collaborative. David Gonski AC, one of Australia’s most respected chairmen who has led organizations including the Australia Council for the Arts, advises: “The Chair runs the board, the CEO runs the company. This simple principle, while seemingly obvious, requires constant reinforcement” (Gonski, 2015).

Within this framework:

The Chair’s Primary Responsibilities:

Leading the board’s governance function
Setting the board agenda in consultation with the CEO
Facilitating effective board discussions and decision-making
Ensuring the board fulfills its governance obligations
Evaluating board performance and effectiveness
Supporting, mentoring, and evaluating the CEO
Representing the organization externally at the governance level
Being the primary conduit between board and CEO

The CEO’s Primary Responsibilities:

Developing and implementing strategy as approved by the board
Managing day-to-day operations
Building and leading the executive team
Providing information to the board for decision-making
Implementing board decisions
Representing the organization operationally
Managing stakeholder relationships at the operational level

The tourism industry presents unique challenges for this relationship, particularly in destination management organizations and industry associations. In Tourism Australia, former Chair Bob East and CEO John O’Sullivan demonstrated an effective partnership by maintaining clear role distinction while collaborating closely on strategic initiatives that helped position Australia in competitive global markets.

Communication: The Lifeblood of the Relationship

Regular, open, and honest communication forms the foundation of a successful Chair-CEO partnership. Catherine Livingstone AO, former Chair of Commonwealth Bank and Telstra, emphasizes that “the Chair-CEO relationship must be characterized by candor, trust, and mutual respect” (Livingstone, 2019).

For TICT, establishing structured communication protocols with your CEO will be essential:

Regular one-on-one meetings – Weekly or bi-weekly formal discussions
Informal check-ins – Brief conversations between formal meetings
Emergency protocols – Clear understanding of when and how to communicate urgent matters
No surprises policy – Mutual commitment to keeping each other informed
Constructive feedback channels – Regular, bilateral feedback mechanisms

The tourism context often requires rapid response to emerging issues—whether industry crises, natural disasters, or opportunities requiring quick action. The New Zealand Tourism Industry Association’s leadership demonstrated exceptional communication during the Christchurch earthquake recovery, with then-Chair Norm Thompson and CEO Tim Cossar maintaining clear, consistent information flow between governance and management during the crisis response.

Supporting Without Interference

One of the most delicate aspects of the Chair-CEO relationship is providing appropriate support without operational interference. Simon McKeon AO, former Chair of CSIRO and AMP, suggests that “the Chair must be the CEO’s most trusted advisor and greatest challenger, but never their supervisor” (McKeon, 2017).

For TICT, this might manifest as:

Acting as a sounding board for the CEO on complex industry advocacy positions
Providing strategic guidance while respecting operational boundaries
Connecting the CEO with relevant stakeholders in government or industry
Challenging assumptions constructively in private discussions
Presenting a unified position externally after decisions are made

Tourism New South Wales provides an instructive example, where the Chair’s connections with government officials were leveraged to arrange high-level meetings, but the CEO led operational discussions on industry development initiatives.

Managing Disagreement

Even in the strongest Chair-CEO relationships, disagreements will arise. The measure of the relationship is not the absence of conflict but how effectively it is managed. Graham Bradley AM, former Chair of HSBC Australia and Tourism Australia, notes that “disagreements between Chair and CEO should be seen as opportunities for deeper understanding rather than problems to be avoided” (Bradley, 2016).

Effective approaches include:

Private discussion – Addressing concerns away from board or staff
Evidence-based dialogue – Focusing on facts rather than personalities
Third-party perspective – Occasionally involving a trusted board member for perspective
Focus on organizational interest – Evaluating positions based on what best serves the organization
Clear resolution process – Establishing in advance how irreconcilable differences will be handled

The tourism industry’s complex stakeholder environment makes alignment particularly important. When Visit Victoria was formed through the merger of Tourism Victoria and the Victorian Major Events Company, the inaugural Chair and CEO established explicit dispute resolution protocols that helped navigate differing perspectives during the organization’s formative period.

Performance Evaluation

A mature Chair-CEO relationship includes mutual accountability. The Chair typically leads the board’s evaluation of the CEO, but increasingly, leading organizations incorporate CEO feedback on the Chair’s effectiveness.

Elizabeth Bryan AM, Chair of Virgin Australia, recommends “a formalized, annual two-way feedback process that examines not only individual performance but the effectiveness of the relationship itself” (Bryan, 2018).

For TICT, consider implementing:

Annual CEO evaluation – Structured assessment against agreed objectives
Chair feedback – Opportunity for CEO to provide feedback on chair effectiveness
Relationship review – Joint discussion on partnership effectiveness
Forward planning – Agreement on relationship development priorities

Tourism & Events Queensland implemented an innovative “partnership scorecard” that measured various aspects of the Chair-CEO relationship, providing quantitative and qualitative feedback that helped strengthen their governance-management interface.

The Chair’s Role with the Board and Stakeholders

Board Leadership

As Chair, your primary governance responsibility is leading the board. Graham Kraehe AO, former Chair of Bluescope Steel and the Reserve Bank of Australia’s Payments System Board, describes the Chair’s role as “creating the conditions under which a diverse group of skilled individuals can function as a high-performing team rather than a collection of talented individuals” (Kraehe, 2017).

Effective board leadership in the tourism industry context involves:

Setting Direction and Tone

The Chair establishes the board’s operational culture and focus. For TICT, this means:

Articulating clear expectations regarding board member engagement
Establishing a culture of respectful challenge and debate
Ensuring focus on strategic rather than operational matters
Modeling ethical leadership and industry stewardship
Fostering an environment where diverse perspectives are valued

Tourism Western Australia’s board transformation under former Chair Peter Prendiville demonstrates how establishing clear expectations can enhance board effectiveness. By introducing a board charter that explicitly defined the “tone at the top,” Prendiville shifted the board’s focus from operational details to strategic industry development initiatives.

Optimizing Board Composition and Function

The Chair works with the board to ensure its composition and processes are optimal. This includes:

Leading board renewal and succession planning
Ensuring appropriate skill diversity for industry representation
Designing effective committee structures
Facilitating ongoing director development
Overseeing board evaluation processes

Based on your provided information about TICT’s college structure (Accommodation & Hospitality Operators, Experiences & Attraction Operators, Associations, and Transport), you’ll need to ensure balanced representation while maintaining governance effectiveness. The college structure provides excellent industry representation but requires careful management to avoid siloed thinking.

Facilitating Effective Decision-Making

The Chair’s role in board meetings extends beyond procedural leadership to creating conditions for optimal decision-making. David Crawford AO, former Chair of Lendlease and Foster’s Group, suggests that “the Chair’s primary contribution is not their own opinion but their ability to extract the board’s collective wisdom” (Crawford, 2016).

For TICT board meetings, consider:

Strategic agenda design – Ensuring the right issues receive appropriate time
Pre-meeting preparation – Working with the CEO on quality board papers
Meeting facilitation – Drawing out diverse viewpoints before convergence
Decision implementation – Ensuring clear recording of decisions and accountability
Meeting evaluation – Regular reflection on meeting effectiveness

Tourism Australia’s board under Bob East implemented a “strategic spotlight” approach, where each meeting featured deep discussion on one strategic tourism challenge, alongside regular governance matters. This balanced routine governance with forward-looking industry leadership.

Member/Stakeholder Engagement

As TICT Chair, you represent both the organization and the broader Tasmanian tourism industry to various stakeholders. David Gonski reflects that “the Chair serves as the public face of the board, articulating its decisions and embodying its values” (Gonski, 2015).

Member Relations

For industry associations like TICT, members are both “shareholders” and customers. Your role involves:

Ensuring member perspectives inform board decisions
Communicating board decisions and rationale to members
Being visibly present at key industry events
Building relationships across diverse industry segments
Balancing member interests with broader industry needs

Tourism Accommodation Australia provides an instructive model, with their Chair conducting annual “listening tours” across different regions, bringing member insights back to the board while explaining strategic directions to membership.

Government Relations

Your background with Tourism Tasmania positions you well for government engagement, which typically includes:

Establishing productive relationships with the Tourism Minister and other relevant ministers
Representing industry priorities in policy discussions
Advocating for industry needs while maintaining political neutrality
Navigating the distinction between public administration and industry representation
Collaborating with public sector tourism entities

The Queensland Tourism Industry Council’s approach under former Chair Shane O’Reilly offers a valuable model. By establishing regular, structured “policy forums” with ministerial participation, they created a formal mechanism for industry-government dialogue that transcended election cycles and political changes.

Media and Public Relations

As Chair, your public comments carry significant weight. Diane Smith-Gander AO, former Chair of Broadspectrum and Committee for Economic Development of Australia, advises that “the Chair must speak with the authority of the board while recognizing that every public statement shapes the organization’s reputation” (Smith-Gander, 2019).

For TICT, this means:

Coordinating with the CEO on communication strategy
Being prepared for media engagement on industry issues
Distinguishing between personal views and organizational positions
Positioning the organization as the authoritative voice on Tasmanian tourism
Using public platforms strategically to advance industry priorities

Tourism & Transport Forum Australia effectively utilizes their Chair for high-level policy positioning, while the CEO handles operational media engagement, creating a two-tier communication strategy that leverages both roles appropriately.

Contemporary Governance Standards in Australia

The Evolving Governance Landscape

Australian governance standards have evolved significantly in recent decades, influenced by corporate failures, regulatory responses, and changing stakeholder expectations. The fourth edition of the ASX Corporate Governance Principles and Recommendations, while primarily targeted at listed entities, has become a benchmark for governance across sectors.

For TICT, relevant contemporary standards include:

Board Effectiveness

Modern governance emphasizes board performance beyond compliance. The AICD’s Governance Analysis Tool™ identifies key elements of contemporary board effectiveness:

Purpose clarity – Ensuring alignment on organizational mission
Strategic focus – Maintaining high-level direction rather than operational involvement
Information architecture – Receiving appropriate, timely, and comprehensible information
Decision processes – Following structured approaches to major decisions
Risk governance – Overseeing risk management frameworks
Performance monitoring – Tracking organizational outcomes against strategy
Stakeholder engagement – Systematically identifying and engaging key stakeholders

Visit Victoria implemented a “governance effectiveness framework” that regularly evaluated each of these dimensions, creating a continuous improvement cycle for board performance.

Ethical Leadership

Contemporary governance places ethical leadership at its core. Malcolm Broomhead, Chair of Orica and former BHP director, notes that “boards must actively shape organizational culture through clear expectations, consistent oversight, and personal modeling” (Broomhead, 2018).

For TICT, this translates to:

Establishing clear ethical expectations for the organization
Monitoring organizational culture indicators
Ensuring prompt responses to ethical concerns
Modeling ethical leadership in all board activities
Promoting sustainable industry practices

The Victoria Tourism Industry Council developed an industry code of ethics under Chair Deborah Beale that established standards for sustainable practices, indigenous engagement, and transparent marketing—demonstrating ethical leadership beyond compliance requirements.

Stakeholder Governance

Traditional shareholder primacy has evolved toward stakeholder governance. Kenneth Hayne AC, who led Australia’s Banking Royal Commission, emphasized that “directors must consider the interests of all stakeholders while fulfilling their legal duties” (Hayne, 2019).

For industry bodies like TICT, this multi-stakeholder approach is inherent but requires systematic attention to:

Identifying all relevant stakeholders (beyond immediate members)
Understanding their legitimate interests
Incorporating diverse perspectives in decision-making
Balancing competing stakeholder priorities
Communicating decisions transparently

New Zealand Tourism incorporated a formal “stakeholder mapping” process into their annual strategic planning, ensuring comprehensive consideration of diverse industry segments, community interests, environmental impacts, and cultural perspectives.

Risk Governance

Contemporary boards recognize risk oversight as a core function. Elizabeth Proust observes that “effective risk governance balances prudence with the enterprise necessary for organizational success” (Proust, 2018).

For TICT, modern risk governance includes:

Strategic risk focus – Identifying risks to industry and organizational strategy
Risk appetite definition – Explicitly articulating acceptable risk parameters
Emerging risk identification – Systematic scanning for new threats and opportunities
Crisis preparedness – Ensuring response readiness for major disruptions
Opportunity lens – Viewing risk management as enabling opportunity

Tourism Australia’s response to the 2019-2020 bushfires demonstrated sophisticated risk governance, rapidly shifting from crisis management to reputation recovery through their “Holiday Here This Year” campaign, showing how effective risk oversight enables strategic agility.

Digital Governance

Digitalization has added new governance dimensions. Former Telstra Chair Catherine Livingstone notes that “digital transformation is a board-level strategic imperative requiring new governance approaches” (Livingstone, 2019).

For tourism industry bodies, digital governance considerations include:

Ensuring data protection and privacy compliance
Overseeing digital transformation initiatives
Understanding technology’s impact on the industry
Monitoring cybersecurity risks
Leveraging digital tools for stakeholder engagement

Destination New South Wales implemented a “digital governance framework” that established clear board oversight of digital strategy while delegating technical implementation to management, creating appropriate governance without operational interference.

ESG and Sustainability

Environmental, social, and governance (ESG) factors have become central to contemporary governance. Nora Scheinkestel, Chair of Atlas Arteria and director of Telstra, emphasizes that “sustainability is now core business strategy requiring dedicated governance attention” (Scheinkestel, 2020).

For tourism organizations, sustainability governance involves:

Integrating environmental considerations into industry advocacy
Promoting social license through community engagement
Ensuring indigenous perspectives are respected
Developing climate adaptation strategies
Balancing economic imperatives with sustainability

The Queensland Tourism Industry Council developed a “Sustainability Leaders Program” under board direction that established industry benchmarks for environmental performance, demonstrating governance leadership on sustainability issues.

Tourism Industry Examples: Global Leadership Lessons

Destination Management Organizations

Tourism Vancouver’s governance transformation offers valuable insights for industry bodies. When facing industry fragmentation, Chair Robyn McVicker restructured governance to balance hotel, attraction, and experience operators’ interests while maintaining strategic focus. Their “Industry Advisory Council” model created a mechanism for broad input while preserving decisive board governance.

Visit Scotland’s approach to crisis governance during COVID-19 demonstrates the importance of clear Chair-CEO delineation during emergencies. Chair Lord Thurso maintained governance oversight of strategic pivots while empowering CEO Malcolm Roughead to implement rapid operational changes, creating effective emergency response without governance breakdown.

Industry Associations

The World Travel & Tourism Council (WTTC) provides a global example of effective industry association governance. Under Chair Christopher Nassetta (Hilton CEO), WTTC developed a “Global Champions” structure that balanced representation from different tourism segments and regions while maintaining strategic coherence, demonstrating how large, diverse stakeholder groups can be effectively governed.

Tourism Industry Aotearoa in New Zealand pioneered integrated reporting for industry associations, with Chair Richard Lauder championing transparency beyond financial metrics to include industry impact measures, stakeholder engagement quality, and sustainability outcomes—setting new standards for industry body accountability.

Public-Private Partnerships

Singapore Tourism Board’s unique hybrid structure offers lessons in navigating public-private boundaries. Their governance model features clear delineation between policy direction (government-led) and industry development (industry-led), with the Chair serving as the bridge between sectors rather than representing either exclusively.

Visit Florida’s governance reforms following public funding controversies demonstrate the importance of transparency in hybrid organizations. Chair Danny Gaekwad implemented comprehensive disclosure protocols, stakeholder communication systems, and value demonstration frameworks that rebuilt trust after governance challenges.

Exercising Delegated Authority: When and How Chairs Can Act

Establishing Clear Parameters

The question of when a Chair may speak or act without explicit board approval is complex. Graham Bradley suggests that “the Chair’s authority stems from the board’s explicit delegation and implied trust, both of which require careful stewardship” (Bradley, 2016).

For TICT, consider establishing:

Formal delegations policy – Documenting specific authorities granted to the Chair
Emergency protocols – Defining decision rights in time-sensitive situations
Representation guidelines – Clarifying when the Chair represents the organization
Consultation requirements – Specifying when broader input is necessary
Reporting obligations – Establishing how Chair actions are communicated to the board

Tourism Australia’s board charter includes a specific “Chair’s Authority Matrix” that outlines delegated powers across different scenarios, providing clarity while maintaining appropriate flexibility.

Responding to Emerging Issues

Industry bodies often face rapidly developing situations requiring response before full board consideration is possible. David Crawford notes that “the Chair’s judgment about when to act independently versus when to convene the board is perhaps their most critical decision-making responsibility” (Crawford, 2016).

Appropriate guidelines include:

Acting within known board parameters and established strategy
Consulting available directors when feasible
Limiting commitments to those necessary before board involvement
Communicating actions transparently and promptly
Seeking ratification at the earliest opportunity

Visit Victoria’s “Chair’s Protocol for Emerging Issues” creates a structured approach to urgent matters, including a simple decision tree for determining whether immediate action is warranted and what level of consultation is required.

Representing Established Positions

Even with clear positions, Chairs must determine how to represent them in dynamic contexts. Elizabeth Proust suggests that “the Chair’s role is to authentically represent the board’s position while reading the room effectively in stakeholder interactions” (Proust, 2018).

For TICT advocacy, consider:

Documenting core positions through formal board approval
Establishing parameters for contextualizing approved positions
Developing a consultation mechanism for borderline situations
Creating a rapid response process for time-sensitive matters
Implementing regular position review cycles

Tourism & Transport Forum Australia maintains a “live” policy positions document that classifies industry positions into “firm” (Chair can represent without consultation), “directional” (Chair can represent with principles-based interpretation), and “developing” (Chair should seek input before substantial representation).

Extending Discussions Beyond Established Parameters

Perhaps most challenging is determining when Chairs may extend discussions beyond established board positions. Simon McKeon observes that “the Chair must balance representing established views with exploring emerging opportunities that the board has not yet considered” (McKeon, 2017).

Constructive approaches include:

Explicit framing – Clearly distinguishing personal exploration from organizational positions
Boundary setting – Establishing in advance what cannot be discussed
Feedback loops – Creating mechanisms to share insights from explorations
Stakeholder clarity – Ensuring other parties understand the tentative nature of discussions
Timely reporting – Promptly informing the board of substantive conversations

Tourism Western Australia developed a “Conversation Framework” that enables their Chair to participate in early-stage discussions on emerging issues while maintaining appropriate governance boundaries, using specific language protocols to signal the exploratory nature of engagements.

Sector-Specific Governance Insights

Public Company Perspective

Public company governance emphasizes transparency, shareholder accountability, and risk management. Catherine Livingstone reflects that “listed company chairs operate under intense scrutiny, requiring rigor in process and communication” (Livingstone, 2019).

Relevant lessons for TICT include:

Implementing structured information disclosure processes
Establishing clear evaluation frameworks for major initiatives
Developing systematic stakeholder engagement mechanisms
Creating robust risk governance frameworks
Maintaining appropriate documentation of decisions

While TICT isn’t subject to ASX listing rules, Flight Centre’s governance approach under Gary Smith demonstrates how tourism businesses can balance entrepreneurial culture with governance rigor—an approach that industry associations can adapt.

Not-for-Profit Perspective

Not-for-profit governance emphasizes mission focus, stakeholder inclusion, and value demonstration. Ann Sherry AO, former Chair of UNICEF Australia, notes that “NFP boards must balance inclusive decision-making with timely action in resource-constrained environments” (Sherry, 2018).

Applications for TICT include:

Ensuring governance processes reflect member resources and expectations
Maintaining mission focus in all activities
Demonstrating value through impact measurement
Balancing professional standards with volunteer engagement
Creating appropriate transparency for members and stakeholders

Tourism Northern Territory’s “Member Value Framework” provides a structured approach to measuring and communicating the organization’s contribution to industry participants, adapting corporate performance measurement to the industry association context.

Public Sector Perspective

Public sector governance emphasizes accountability, policy alignment, and stakeholder service. Tony Shepherd AO, former Chair of the National Commission of Audit, observes that “public sector governance requires balancing ministerial direction with independent judgment” (Shepherd, 2017).

Insights for TICT’s public sector engagement include:

Understanding machinery of government implications for tourism
Recognizing political cycles while maintaining strategic consistency
Navigating the interface between industry advocacy and public policy
Establishing appropriate transparency for public interest matters
Building relationships across political divides

Tourism Tasmania’s governance model under former Chair James Cretan demonstrates effective navigation of government-industry boundaries, with clear protocols for when the organization represents government policy versus industry perspective.

Conclusion: Developing Your Chair Leadership Approach

Leading TICT represents both tremendous opportunity and significant responsibility. The organization’s influence on Tasmania’s tourism industry—and consequently on the state’s economic, social, and environmental future—places you in a position of substantial impact.

Elizabeth Proust suggests that “the most effective Chairs develop a personal leadership philosophy that authentically represents their values while adapting to their organization’s specific context” (Proust, 2018). For your TICT chairmanship, consider:

Establishing Your Leadership Framework

Define your governance philosophy – Articulate your core beliefs about effective governance
Identify your leadership strengths – Leverage your industry knowledge and relationship skills
Acknowledge development areas – Seek support in areas requiring growth
Establish personal protocols – Create routines that ensure effectiveness
Build your support system – Identify mentors and advisors for your chair role

Immediate Priorities

As you begin your chairmanship, consider focusing on:

Building a strong working relationship with your CEO
Establishing clear communication channels with board members
Developing relationships with key government stakeholders
Understanding member priorities across different industry segments
Creating your chair “operating system” for effective time management

Ongoing Development

The Chair role requires continuous learning. David Gonski notes that “the most effective Chairs remain perpetual students of governance” (Gonski, 2015). Consider:

Participating in AICD Chair-specific education
Establishing a peer network of other industry association Chairs
Creating a structured reading program on governance developments
Seeking formal or informal mentoring from experienced Chairs
Implementing regular reflection practices

The transition from board member to Chair represents a profound shift in perspective and responsibility. Your extensive tourism industry experience, combined with dedicated attention to governance excellence, positions you to make a significant contribution to Tasmania’s tourism future. By thoughtfully balancing the complex dimensions of the Chair role—from CEO partnership to stakeholder engagement, from governance oversight to industry leadership—you can help TICT navigate the challenges and opportunities ahead while strengthening Tasmania’s position in the competitive tourism landscape.

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