Efficiency of the boardroom is a crucial aspect to maximizing the performance of boards. It requires a clear and concise meeting structure and continuous communication. It also requires a central website that lets directors access their meeting materials and discuss them with colleagues in real-time. Achieving these goals isn’t easy, particularly for boards that are a bit short on time due to short director terms as well as continuous recruitment.
In an OnBoard Webinar Corporate advisors Max Franchitto & Tamara Barr presented strategies to ensure maximum boardroom efficiency. They discussed how to increase engagement and foster the diversity of perspectives and skills. They also offered suggestions to improve the process of the board and enhance individual director performance.
Some boardroom dynamics are toxic to the ability of a board to practice generative government. For instance, a disproportionate desire to achieve consensus and the lack of attention to critical thinking can lead to discussions that are ineffective and hinder the effectiveness of decision-making. Similarly, the tendency to dismiss an argument without having a full understanding of its underlying causes could cause distrust and hinder a board’s effectiveness.
To avoid these issues, a board should engage in open communication with all directors, and provide them with the opportunity to express their opinions and perspectives. Boards can accomplish this by encouraging positive and informal director communication between meetings, by providing opportunities for directors outside of the boardroom to find common interest, and by adding “hang time” on meeting agendas to allow newer members to get to know each other.
https://usboardroom.com/virtual-data-rooms-a-new-era-for-m-a-deals-in-the-global-business-world/