Jul 17 2024 21 mins
Many Directors have positive intentions, want to leverage their experiences, support executives, and discuss the big picture in the boardroom. But many quickly become disillusioned, stuck in detail, ticking off boxes and agenda items rather than supporting executives and helping the organisation make a real mark.
In this podcast, Dr Sabine Dembkowski, Founder and Managing Partner of Better Boards www.better-boards.com, talks with Sir John Tusa. He is known as the main past presenter of BBC2's Newsnight programme. He was Managing Director of some of the most iconic media and cultural centres in the United Kingdom, such as the BBC World Service and the City of London's Barbican Arts Centre and chaired the boards of the European Union Youth Orchestra, University of the Arts London and Wigmore Hall.
“We are here to help to make the organisation a better, more creative place"
Sir John began by observing that a board that is too formal and strictly adheres to rules can stifle creativity. While it is important to follow regulations, boards that only focus on minutes and compliance miss the mark.
“The practice of constant accountability prevents people from having ideas”
Sir John explains that it presents a missed opportunity if a board does not make time for innovation. To avoid this, boards should ask if they focus more on responsibility or accountability. He believes accountability often means constantly proving compliance to external parties, while responsibility involves making decisions and owning the outcomes, good or bad. Boards should prioritise responsibility, embrace new ideas, and be willing to accept the consequences of their decisions.
“Give yourself permission on a board not to be tied down by rule”
Sir John wishes boardrooms would handle routine business swiftly and then dedicate the rest/bulk of the time to discussing big ideas. These discussions do not always need conclusions but require an open-minded approach, and the chair and chief executive must foster this creative environment. Board members are not there just for their specific skills; they are there as whole individuals.
“It's vital that boards spend time together”
Spending time together outside formal meetings, as Sir John experienced on an American board, can significantly improve board dynamics because boards need to be enjoyable spaces. So, as chair, focus on creating an open, fun, and collaborative environment while ensuring that the board members feel valued and heard. This will foster an atmosphere where innovative ideas can thrive.
“You won't do it just by being stuck in the mud and saying, ‘We're observing the rules’”
Sir John concludes by pointing out that as an individual non-executive director or trustee, you can influence and contribute to creating a vibrant board atmosphere, even if the chair is not taking the lead. He suggests that boards thrive when members feel valued, heard, and motivated to contribute their best.
The three top takeaways for effective boards from our conversation are:
1. Remember that a board is there to help create and sustain a vision. The vision comes from the chief executive, but the board can contribute to that and needs to be forward-looking.
2. Consider whether everybody contributes equally and is allowed to contribute.
3. Be very careful how you deal with objectives. People think something has been done just because they've achieved the objective, but this might not mean value is added.