It has been said that if two people agree on the board, then one of them is unnecessary. While that is an extreme perspective, the truth is that a successful board should be a room full of diversity, differing opinions and an array of experiences. If your board feels a little stale and uninspired, board restructuring may be just what you need to revitalise your decision-making machine. The importance of board governance in business cannot be understated.
fds is well-versed in what makes a board effective, using the knowledge, talent and experience of our own Non-Executive Directors to help guide other boards to understand how to achieve boardroom success.
fds can help uncover the answers to the following questions:
Who is Sitting at the Board Table and Why?
The success of a board hinges on its composition, which is crucial for effective board governance. Every single member should sit around the table with a purpose and contribute a unique perspective based on their personal experiences, expertise, industry knowledge, and opinions.
Diversity in the boardroom elevates corporate governance standards. It heightens ethical practices and ensures that decisions are made after considering broader implications, with a full view of transparency and accountability.
When reviewing your board, take the time to carefully consider who is sitting around the table, what role they play, and how well they align with the company’s needs, expectations, and requirements.
Assessing Current Role Competency
The role of a non-executive director and what they bring to the table can change in alignment with the company’s shifting goals. Non-Executive Directors should be versatile and willing to adapt to developments in their role and what is expected of them.
Assess each member of your board and consider their distinctive characteristics. By consistently engaging in board member reviews, the board maintains healthy alignment with company goals and is better equipped to tackle any challenges faced with confidence.
Can We Develop What We Have, or Do We Need New Blood?
If you are unsure whether a board member is fulfilling all that is expected of them, or if you are simply evaluating what can be done better on an already successful board, it may be time to consider how the board can grow in effectiveness and reflect on its current approach to operations.
Is there any room to develop and improve the current board, or have all actionable avenues already been explored? The role of NEDs in business growth is paramount to company success, and the key to unlocking further progress may lie with bringing in new non-executive directors who can introduce fresh ideas with a creative, original approach.
What Can We Learn from the Mistakes We Have Made Historically?
While business growth usually refers to financial gain or market presence, a meaningful aspect of business growth is reflecting on past mistakes and learning from them. No company is perfect, and every business makes the occasional error, but how these issues are managed and transformed into a proactive learning curve makes the difference.
How Can fds Help?
fds will take a critical view of your board and its members and help you create a world-class board that is designed for business growth and company success.
By leveraging the expertise, skills, and experience of our directors, fds can easily assist other boards with a guide to board support consultancy that makes understanding the essentials of achieving success in the boardroom simple. If you are interested in learning more, contact us for a confidential conversation.
