“As a board member, your nose is in, but your hands are out.”
Many executives believe they have what it takes to be a board member, but not everyone considers the realities involved.
You need to be a coach, a sparring partner, a visioner, and a strategic thinker – looking 15-20 years down the line and not just to the next quarterly report. You need financial literacy, agility, and alignment, and not just with the decision-making philosophy of the board but also with its culture. Here are four more things to consider when looking for your first board role.
“Joining boards in varied industries not only offers the critical first step of better understanding governance structures but also forces you to be less assertive and instead listen and learn.”
Our research suggests that most board members find their first role through social networks. This requires a curated brand as a reputable and ideal board member and a unique board proposition: What are your values and core reasons for wanting to serve on a board? And what can you bring to the board in terms of expertise and experience?
The executive world often tells us to keep to our swim lane, picking an industry and building credibility within it. However, the boardroom is a very different setting, and joining boards in varied industries not only offers the critical first step of better understanding governance structures but also forces you to be less assertive and instead listen and learn the true dynamics of the board before making your first suggestions. That said, you are often hired for your specific skillset, so while agnostic to industry, you should consider the expertise for which you have been hired and ensure your contributions are valuable and relevant.
You should gain as much board experience as possible. For those without prior board experience, you can create talking points tailored to the specific company and draw on your relevant and transferable expertise, weaving in your functional background and your values too. For instance, if the board is hoping to become more decisive and results-driven, your CFO profile could demonstrate an ability to streamline decision-making and be more analytical. Or, if the board is seeking to become more adaptive and innovative, entrepreneurial experience can be highlighted as a way of moving the board and its company forward, pushing new limits, and becoming more creative.
You should then be very open and forward about your objectives, ensuring you are prepared to explain the credentials and personality you can bring to the boardroom to help move the company from where it is to where it wants to be.
You should also consider the reputational impact of serving on this board, as this will shape your onward board journey.
The boardroom is no longer a place for executives at the end of their careers. Leaders of all ages and industries can find themselves in an enormously creative, rewarding, and career-shaping setting, working alongside interesting people, making an impact, and honing new skills and perspectives.
Aspiring board members should invest in pedagogical education, either in the form of local board programs to better understand the local illustration or well-established programs to learn best practices and governance mechanisms. These programs comprise aspiring board members and seasoned directors who are often willing to share best practices and case studies to learn from.
You do not need to serve on boards exclusively. While the role itself requires a shift in mindset from executive to supervisory, your role on a board can be hugely beneficial to existing executive positions. It can unlock access to a board-down perspective, helping you to better understand how a board works with its C-suite and what is required of you and why. It can also offer a new lens to take back into the business alongside a new set of skills, molded by a board of interesting and influential leaders. Boards, just like executive mandates, require a broad understanding of business strategy, financial literacy, governance, and stakeholder engagement, and building on this skillset in the boardroom can strengthen leadership positions, as well as your non-executive credentials.
In deciding on a board, you will obviously meet with the chair. And some chairs are even okay for you to ask for minutes from previous meetings.
It may be given less airtime than the financial due diligence required for choosing a board, but culture fit is equally as critical for finding the right board for you. You must take practical steps to identify the culture of the board and analyze whether it’s the best fit for you, both culturally and practically.
In deciding on a board, you will obviously meet with the chair. And some chairs are even okay for you to ask for minutes from previous meetings. I know of a board candidate who will often ask to see the minutes of the last three meetings to build a picture of the topics discussed, who spends the most time talking, and if everyone speaks. Some chairs admire this; others find it intrusive, but this alone can be an indicator of how aligned you are as individuals.
Board members are required to be less ‘in the weeds’ and form part of a collaborative and holistic team, helping to steer decision-making. You need to be a sparring partner, offering experience, unique expertise, and diversity in thinking as well as an ability to benefit the culture of a board – energizing fellow members, leaving them feeling inspired and motivated, and ultimately, taking them to where they want to be next.
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