Effective board management drives value across the board and allows companies to move forward amid complexity, innovation and periodic crises. A clear and strong mission, an effective engagement model and effective information practices are the foundations of effective governance which we define as:
Boards must choose the right leaders to conduct meetings, foster constructive discussion and invest time training, development, and in feedback. This will ensure efficient governance. These leaders also need to maintain a high degree of trust between their fellow directors and CEOs and settle any conflict that occurs.
As a mediator, the board chairperson can set the tone and guide the resolution process. They should also be prepared to address difficult issues when data security the right time comes knowing that these conversations will require greater examination than topics that are less challenging.
The time limit for board chairman posts should be designed to be consistent with the company’s bylaws and should be reviewed on a regular basis to ensure that the board is comprised of a diverse set of individuals with a variety of skills and backgrounds. Many bylaws specify a term of 2 or 3 years, but others don’t have a limit.
The best boards have key board members who can provide valuable expertise, knowledge and connections to key stakeholders. They are open to new perspectives and draw on external expertise when needed. They also can adapt quickly to changing priorities and conditions.