How Directors Can Support CEOs Amid Macroeconomic Uncertainty
In a Spencer Stuart survey of 2,400 CEOs, fewer than 24% said their boards are effectively supporting them through today's volatile environment. In this piece for Private Company Director, Julie Gilbert argues that directors have to become true strategic partners to the CEO, and lays out how.
The article draws on the experience of seasoned directors and CEOs, from founder-led and multigenerational family companies to private equity-backed firms, and turns it into four practical shifts for the boardroom.
Four shifts for boards
- Build trust, candor and authenticity. CEOs need a boardroom where hard issues come up early and get discussed openly, and where what's said in the room stays there.
- Think and act like an owner-operator. Risk shouldn't just be avoided. It should be understood and put to work.
- Put growth and innovation on the agenda next to compliance. A board that only protects the downside leaves the company exposed.
- Keep evolving the board's composition. Refresh the expertise in the room, from technology, AI and cybersecurity to emerging markets, and make sure directors share the company's values.
She closes on the balance boards have to strike: staying informed through scenario planning and continuous learning, and supporting management strategically without micromanaging it.
Great boards must evolve quickly, challenge wisely, support consistently and lead courageously.
Read the full article on Private Company Director →
Directors and CEOs featured in the article: Brantley Barrow, Herman Bulls, Cindy Burrell, Dan Castles, Chuck Cohen, Doug Leidig, James White and Rick Winston.
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