Produced by Julie Garland-McLellan, Consultant at AltoPartners Australia and non-executive director and board consultant based in Sydney, Australia.

Contribution by Marco Arcaini, is Founder and Managing Partner, AltoSearch GmbH / AltoPartners Wiesbaden, Germany. He is also a practicing executive coach and has taken executives and board members through a comprehensive Onboarding Program. Marco is based in Wiesbaden, Germany.

This edition of the newsletter was first published on The Director’s Dilemma website and the full newsletter is available for viewing here. To subscribe to future editions of the newsletter, click here

The Director’s Dilemma - December 2023

This month we advise a newly appointed director who doesn’t know how best to add value.

Imogen has recently been appointed to her first paid board. She has completed a company director course with her local governance institute and has served on a not-for-profit in the past. She is thrilled as the company works in a sector where she has some executive experience and a strong personal interest. She is very keen to make a good impression and build her career in the boardroom. She also wants to add value as that is something she has been taught that good directors should do. But Imogen is confused; she doesn’t know how to add value. Her instructors on the course didn’t mention anything specific or concrete for her to do and they did warn her about ‘crossing the line’ and getting too deep into operations or losing her independence.

What are some things that Imogen can safely do to go beyond just reading the papers and turning up to meetings so she can add real value? How can she stand out as a valuable addition to the board?

Marco’s Answer

Being selected to take on the role of a board member is an honor but also a liability. Imogen, like most members, is eager to make a meaningful contribution to the company and establish herself as a valuable addition to the board.

But what does that mean? Board Membership is about adding value beyond simply concentrated listening in meetings and thoughtful reviewing of materials.

To address Imogen’s needs I recommend she adopt the strategies I use in my tailored Onboarding Program to enhance her board effectiveness:

• Leverage Expertise: Share her insights and knowledge gained from her professional background and personal interest in the company’s sector. Provide real-world examples from her own experience, challenge assumptions and offer alternative perspectives.
• Engage Proactively: Ask exploratory questions to encourage deeper analysis and critical thinking. Demonstrate willingness to engage with the management team and delve into the company’s strategic direction.
• Build Relationships: Connect with fellow board members and management team members outside of formal meetings. Understand their perspectives and foster collaboration and trust.
• Provide Feedback: Offer objective feedback on management’s performance, strategies and decisions. Base feedback on sound reasoning and evidence to provide valuable insights.
• Become a Resource and an Expert: Actively seek out and share relevant information, industry trends or potential opportunities with the board. In parallel read industry reports, attend relevant conferences and participate in professional development opportunities to stay abreast of the latest trends and regulations in the sector.

Imogen may consider working with a leadership consultant, to provide personalised guidance, assess her strengths and areas for development, develop a leadership plan, offer ongoing coaching and mentorship and facilitate networking and relationship building.

Julie’s Answer

When David Beckham joined Real Madrid, I’m sure he didn’t spend the first season jogging around the pitch and getting used to how things were done there compared to his original Manchester United. New directors should also get on the pitch and start scoring goals!

Unlike Beckham, Imogen doesn’t need to do much; she needs to understand a lot. That will help her contribute appropriately and with maturity.

Imogen should review her due diligence and any items that she wanted to know before joining but couldn’t find out from the resources available to her at that time. Now she can ask and get.

She should review her induction plan with the Chair and ensure that all of those asks are included. This is a good meeting to ask about the board’s annual calendar and get access to papers for at least the past three meetings so that she can prepare for upcoming meetings.

Sitting in on any committee meetings in the first year will help her get deeper insights and a holistic view of the company. Spending time with the CEO and C-suite is another great practice to include in her induction.

She should also schedule sufficient reading and research time before each board and committee meeting.

An often-overlooked aspect of preparing to ‘hit the ground running’ is getting to know her fellow directors. A coffee with each of them will help her to understand their personalities and likely communication preferences. She needs to learn how to make her contribution in a way that will be effective and may need to adopt to their styles to be better heard.

This effort will help her contribute fully and well.