Board Management

Meetings are at the crux of decision-making for businesses and other organisations, enabling improved performance.   And effective decision-making could not be more important at a time when The Harvard Law School Forum on Corporate Governance has identified that investors are still doubling down on ensuring boards are working at the top of their game.   Calls for more rigorous board evaluations, for CEOs to show stronger oversight and for board members to prove their compensation packages equate to the value they bring to the organisation show that stakeholders are scrutinising all aspects of governance, of which the quality of meetings and […]

KPMG refers to board engagement as “perhaps the top challenge for boards today,” stating that “devoting quality time to strategy and thinking about the future have never been more challenging or important as technology, innovation, and other forces disrupt and undermine business models and strategic assumptions with startling speed and impact.” In order to keep directors engaged, it is important to create a corporate culture that prizes hard work and accountability. As Austrian-American business consultant Peter Drucker said “Culture eats strategy for breakfast.” And, to create a culture that allows the business to flourish in a positive manner, high-performing boards […]

Determining the optimal board size for an organisation is a delicate balance. Companies must consider the requirements that they have of directors, in terms of the range of skills and experience they offer, with the effect that larger boards will have on boardroom dynamics.  Small boards may lack the dissenting voices that are required for rigorous decision-making, but a large board may also be far from optimal. A study by Dirk Jenter, Thomas Schmid, Daniel Urban for the London School of Economics found that, for German firms that are subject to board size requirements, having “excessively large” boards can reduce […]

Managing a board of directors is a challenging task that involves collaborating with various personalities at different ages and from all sorts of backgrounds. For example, the average board size in France is 14, followed by 11 in Italy, Spain and Sweden, with the average age of directors being 59, 58, 60 and 60 respectively. This means you typically have a large group of experts, confident in their opinions and convictions, that you have to encourage to work as a team and to consider each others’ views. Given these statistics, and the fact that the board only convenes a few […]

The performance of board members is under ever-growing scrutiny, and that is displayed by the results of PwC’s Annual Corporate Directors Survey from 2022. It found that 48% of directors think one or more of their colleagues on the board should be replaced. In addition, 19% recommend replacing two or more of their fellow board members.  One of the main drivers of positive board performance is engagement, ensuring your directors give their all when preparing for meetings, in the boardroom and when following up with actions. Implementing a board engagement plan plots out the steps you can take to help […]

The Institute of Directors defines the role of the board as being “to ensure the company's prosperity by collectively directing the company’s affairs, while meeting the appropriate interests of its shareholders and relevant stakeholders.” With such responsibility, it is essential that the board works to its full potential. This certainly includes knowing how to improve board effectiveness.  Worryingly, PwC found that only 10% of C-suite executives rated their boards as ‘excellent’ in terms of their effectiveness. The majority – 55% – said that their board’s performance was merely ‘fair’. This article describes the steps required to improve board effectiveness and […]

Your board comprises a host of diverse talent that drives your business forward. But you do not have this resource at hand at all times.  Typically, a non-executive director will work between ten and 40 days a year, although the time commitment varies between organisations. This is why you need to understand the best ways to engage board members, encourage them to dedicate their time to your business and make the most of the time they are present. This article explores how to maintain motivation so that you get the best from your directors. It also guides you through building […]

A while ago, McKinsey found that teams that are connected can increase their productivity by between 20 and 25%. Further research by ThinkTalent found that companies with effective communication strategies were 3.5 times more likely to outperform their peers. More recently, Gartner found that poor communication is responsible for 70% of corporate errors. With a board of directors who do not work in the same location for the majority of their tenure, being able to keep communication lines open between members is essential. This article explores expert tips on how to improve board of directors communication.  Directors are leaders, but […]