Boards provide strategic oversight of a business, which includes its finances and the management of risk and opportunities. They also guide leadership succession and talent development and corporate culture. They also develop and maintain policies that prioritize the stakeholder interests of shareholders and other stakeholders.
No matter the type of organization or mission, all board members must fulfill three specific obligations:
1. Establishing a foundation for values and goals.
Board directors must be able understand and share the core values of their organization, whether it’s compassion, respect or kindness. In the same way, they must be able and willing to show the values they hold in their actions and interactions with staff as well as others. In the aftermath of the pandemic, a lot of companies have reaffirmed their values and made a commitment to their employees and their community to live by these principles each day to move forward.
2. A platform that allows the company to grow.
If the goal is to expand into new markets or accelerate growth, a competent board with a wide range of skills will help. A member with a background in sales can provide valuable insights and perspectives on the revenue-generating side of a company, whereas someone with fundraising experience may be able to attract investment capital.
During the interview and selection process, it’s important to provide new board members with an in-depth orientation. This will give them a clear overview of their roles and the responsibilities they will have, allowing them take on their new role with confidence.