The Men and Women Who Run Smith & Nephew plc (ADR) (SNN): H.J. Heinz Company (HNZ)

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In addition to the almost-obligatory former accountant, Smith and Nephew’s roll call of seven non-execs has a number from the pharmaceutical sector.

I analyse management teams from five different angles to help work out a verdict. Here’s my assessment:

1. ReputationManagement CVs and track record.Very good. Score 4/5
2. PerformanceSuccess at the company.Impressive agenda of change, results not yet fully apparent. Score 4/5
3. Board CompositionSkills, experience, balanceGood. Score 3/5
4. Remuneration. Fairness of pay, link to performance.Last remuneration report was contentious. Score 2/5
5. Directors’ Holdingscompared to their pay.Chairman has £1m+, CEO just £260k. Score 3/5

Overall, Smith and Nephew scores 16 out of 25, a middling-to-low result. However, if Mr Bohuon’s initiatives start to show through in the company’s performance, and he commits more of his pay to buying the company’s shares, the score could move significantly upwards.

I’ve collated all my FTSE 100 boardroom verdicts on this summary page.

Buffett’s favorite FTSE share
Legendary investor Warren Buffett has always looked for impressive management teams when picking stocks. His latest acquisition, H.J. Heinz Company (NYSE:HNZ), has long had a reputation for strong management. Indeed, Mr Buffett praised its “excellent management” alongside its high-quality products and continuous innovation.

So I think it’s important to tell you about the FTSE 100 company in which the billionaire stock picker has a substantial stake. A special free report from The Motley Fool — “The One UK Share Warren Buffett Loves” — explains Mr Buffett’s purchase and investing logic in full.

And Mr Buffett, don’t forget, rarely invests outside his native United States, which to my mind makes this British blue chip — and its management — all the more attractive. So why not download the report today? It’s totally free and comes with no further obligation.

The article The Men and Women Who Run Smith and Nephew originally appeared on Fool.com and is written by Tony Reading.

Fool contributor Tony Reading owns shares in Vodafone, GlaxoSmithKline, and AstraZeneca, but no other stocks mentioned in this article. The Motley Fool owns shares of Smith and Nephew, and has recommended Vodafone.Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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