Playing industry disruptor isn’t a magic trick: it requires an active approach by corporate boards in a number of different business initiatives, ranging from tech to diversity. It was a pleasure speaking with several business leaders to get their insights on what best practices boards can leverage to build a strong corporate culture for disruption and innovation. Read more about some of the ways you can create an ecosystem for driving growth
2. Ask five people what disruption means to them and the
odds are you'll receive five different answers.
I recently moderated our virtual board member exchange where
our listeners heard best practices that corporate boards should
consider implementing in today’s business environment. To no
surprise, each of our five speakers approached the topic in a
unique way, yet all of their great insight held a common theme:
corporate boards need to embrace change.
Board Governance in a Time
of Disruption
3. Data Analytics and
Artificial Intelligence
3 Actions for Board Members
Adaptive Governance – Innovation
on the Board’s Agenda
Dedicate Time to Building
Your Knowledge around
Technological Disruption
4. A great starting point to embrace change is to have a clearer
understanding of a company’s performance and bottom line.
This is why a number of our speakers stressed the importance of data
analytics and artificial intelligence. The purpose is twofold: a clear
understanding of data allows for boards AND audit committees to more
effectively understand a company’s performance and deliver insights to
management. Transparency will lead to dialogue that is impactful and
drive improved results.
Data Analytics and Artificial Intelligence
5. It is not an easy task to govern and lead a company through disruption.
It requires striking a delicate balance between the fiduciary
responsibility of the board and execution on behalf of management.
This is why each of our speakers emphasized the importance of dedicating time
for strategy discussions. We’re not referring to carving out twenty minutes on a
meeting agenda. This is on a much deeper level where you can think about
innovation from outside-the-box. It is also important for boards to let management
understand that they don’t need to come to the table with a fully baked idea. In a
way, management has to come in with a sense of vulnerability. “We’re thinking
about these ideas, what are your perspectives?” This is more effective because
when they throw all of their eggs into one basket, you’re running with a higher
sense of risk. Say option A no longer works because there are new tariffs in China,
there needs to be an option B and C for discussion. There needs to be backup
plans in place and boards can convey that message.
Adaptive Governance – Innovation on
the Board’s Agenda
6. Technological disruption is at the forefront of change for boards and management
alike. However, it is not always easy to stay up to date on the latest trends,
products and solutions. In addition to scanning newspapers, TechCrunch, Wired,
and websites on a regular basis, I’ll leave you with three techniques to consider:
1. Connect with venture capitalists, analysts, entrepreneurs and technology influencers in your
industry. They are never okay with the status quo and are always looking for the next great
innovation. Follow them via social media and listen to their podcasts. Great examples of tech
podcasts include Recode Decode, Masters of Scale and the WSJ Tech New Briefings. Consider
following tech influencers like Jeff Bezos, Elon Musk, etc. These are professionals that have
dedicated their careers to staying ahead of the technology curve.
2. Dedicate time to walk the floors of major technology conferences and tour Silicon Valley with
your management teams. Having a feet on the street perspective allows you to engage with
founders and representatives of companies on a deep, personal level as well as learn about
the emerging trends Examples include CES, CTA events and other tech symposiums.
3. Join Networks with your peers to exchange ideas and build relationships to stay informed on
key trends and best practices from other boards. Examples such as NACD as well as Grant
Thornton’s Insight Exchange – our peer networks created for board and C-Suite members.
Dedicate Time to Building Your Knowledge
around Technological Disruption
Listen to the podcast here
7. Embracing the changes needed to stay ahead of the
innovation, technology and economic developments will
empower the entire organization to evolve faster and succeed.
Boards Set the Tone with Management
for the Entire Organization
Contact me today to have a conversation
about next steps for your board
Nichole Jordan
National Managing Partner,
Markets, Clients & Industry
Tweet me: @NicholeJordan26
Message me on LinkedIn
Listen to the podcast here
