The two organisations have joined forces to create a Diploma in Company Direction. Tailored to reflect the experiences of charity and not-for-profit chief executives, the programme covers areas including finance, company law, marketing, change management and decision making, and provides a comprehensive review of an individual’s competence.

Miles Templeman, director-general of the IoD, said that the qualification will encourage private sector companies to recruit third sector leaders as non-executives. “The qualification can only enhance the quality of boardrooms by bringing forward highly-qualified director from the third sector to add diversity to existing company boards,” he said.

Over 50 charity chief executives have already expressed an interest in taking the diploma course, including Tony Hawkhead from Groundwork. He said: “There is still a regrettable tendency to regard people in the third sector as less professional than their counterparts in the other sectors. This qualification was developed for use by company directors, and is equally applicable to the third sector, clearly demonstrating the calibre of the holder. At a time when third sector management is under scrutiny as never before, this diploma is crucial evidence of its quality.

The Diploma in Company Direction costs £3,500 + VAT and comprises 15 days study and a three hour exam. Once a student has been awarded the diploma they may then pursue Chartered Director Status. For more information contact the IoD on 020 7766 8842 or email simon.bull@iod.com