A boardroom can have a wide array of individual talents within it, but without efficient structure and cohesion, it may not be worth the sum of its parts.
Whether private, social enterprise or charity, many organisations reach a point where they may need to reconsider their policy and attitude towards performance and board capability.
Having the right board members, working effectively together as a collective, is crucial to the success of any business.
In some examples, such as scaling SMEs or family businesses that are faced with looming succession issues, this might require the establishment of a formal board for the first time.
Nearly half of all board appointments are made within closed networks and limiting the search for members who could make a real difference within a narrow pool could be harmful to future success. An outside perspective, with the expertise to broaden the search to relevant and appropriate potential additions, could provide the variation and depth of expertise your organisation needs.
For those seeking growth capital the need to be ‘investor ready’ is clearly critical and one of the catalysts to review board effectiveness. There are many things to take into consideration, such as analysing board members’ understanding of the business, and whether they have the right mix of skills required.
Others, particularly those in the not-for-profit sector, may be reviewing their standards of governance and how they would stand up to scrutiny from their stakeholders and beneficiaries.
Finally, there are many examples of boards being the subject of minimal or no external reviews. This lack of scrutiny is harmful, not only in measuring the effectiveness of performance, but by also increasing the risk of producing negative results and missing potential business opportunities.
Whatever the circumstances, there is a significant ROI to be gained by seeking an external, experience-based, perspective that can provide invaluable insights and help with implementation.
In the North East of England, The Experience Bank Group (EBG) is uniquely capable of helping SMEs and charities to recruit, develop, and maintain high value-adding boards and senior management teams to support sustainable growth.
Specialising in board level recruitment and board effectiveness, EBG provides business leaders with expert insight, assessing what works well and not so well within your business, and sets agendas for improvement to propel your company to the next level.
If this blog has stimulated some thoughts on your board and whether it is adding the value it should be, we are always happy to listen, understand and help.
If you disagree with anything I have written, can add something that I have missed, or would like to share some thoughts and observations from your own experience of what makes a board highly effective (or ineffective), please do visit here and comment on the post.
Thank you in anticipation.