CEO-Board Dynamics

In navigating the complex landscape of CEO-Board dynamics, divergent perceptions often arise: while nine out of 10 directors express confidence in their board’s performance, only one in five CEOs perceive the same effectiveness. This disparity underscores the pressing need for clarity and effective collaboration between management and boards, a challenge exacerbated by evolving board roles. Ram Charan’s “Owning Up: 14 Questions All Board Members Should Know” offers indispensable insights, addressing key improvement opportunities such as clarifying board-management boundaries, fostering robust relationships, and enhancing communication channels for optimal organizational outcomes.

1. Nine out of 10 directors think their boards are doing a good job. Their CEOs think only one director in five is effective. Who is right?
2. CEO-Board Dynamics is a key challenge for most companies due to the changing nature of the role of boards and the lack of role clarity.
3. Premise: All CEOs and executives must learn how to work effectively with Boards to deliver greater results.

Here are the Top Ten Improvement Opportunities:

1. How to keep boards out of operational issues
2. Practical steps to build relationships between board and management
3. Most executives don’t understand what board members want
4. How to look for good people to put on boards
5. What role should management play in board recruiting
6. How far should management go in encouraging board development
7. What is appropriate training for board members
8. How to get people off boards
9. Best practices in board evaluation of senior management and board evaluation in general
10. How to ensure really effective communication between the board and the CEO

Book Recommendation: Owning Up: 14 Questions All Board Members Should Know by Ram Charan