Efficiency in the boardroom is essential to maximizing the performance of boards. It requires a clear, concise meeting structure and continuous communication. It relies on a web-based portal that provides directors access to their meeting materials, and also to discuss them online with colleagues in real-time. Achieving these goals isn’t easy, particularly for boards that are short on time due to short director terms and continual recruitment.
In an OnBoard webinar corporate advisors Max Franchitto and Tamara Barr shared key strategies to ensure the highest level of efficiency in the boardroom. They discussed how to increase engagement and encourage an array of skills and perspectives. They also discussed ways to improve board processes and improve individual director performances.
Certain types of boardroom dynamics are harmful to the ability of a board member to conduct democratic governance. For instance, an excessive desire to find consensus and a lack of focus on critical thinking can result in unproductive discussions and groupthink that hinder the effectiveness of decision-making. Similarly, the tendency to dismiss arguments without having a complete understanding of its underlying causes can cause mistrust and undermine a board’s effectiveness.
In order to avoid these issues, boards must engage in open and honest communication with all directors and give them a platform to express their views and opinions. Boards can accomplish this by encouraging constructive and informal director communication between meetings, by providing opportunities for directors outside of the boardroom to discover common interests, and by incorporating “hang time” in agendas of meetings to allow younger members to get know each other.