Wednesday, October 12, 2022


Sometimes organizations go stale, from the boardroom to the front line, they need fresh insight and a great attitude to make a difference.

The world becomes over-complex and hyperdiverse, digital disruptions are inevitable and business transformation is unstoppable. The corporate board's role is to pull management out of the trees to see the forest by enforcing governance disciplines and steering business in the right direction at a premium speed. 

High-mature corporate boards with “cool-headed” directors are the driving force for large scale changes. They can apply critical thinking, interdisciplinary knowledge, enriched experiences to make strategic decisions and co-solve the right problems effectively. They are interfaces of varying perspectives, opposing views, and cultural differences to achieve a high level of leadership competency.

An effective corporate board can connect all the right dots to run business as a holistic living thing rather than “the sum of pieces'”: With blurred functional, industrial or geographical borders, holistic thinking is important to understand, frame, and solve today’s over-complex business problems without causing more issues later on.The digital era means information flow, hyper-connectivity, and interdependence. With the huge pressures from corporate shareholders, it takes both courage and knowledge to be holistic from the boardroom to the corporate floor. The BoD needs to gain a holistic understanding of the enterprise in order to steer the organization forward effectively.

It is critical to apply a holistic approach to break through the industrial constraints and limitations, in pursuit of possibilities, and unleash the full potential of the organization. The BoDs must begin thinking about ways with strategic planning to broaden their ecosystem viewpoint by capturing emerging trends, bridge cognitive differences, making information-based decisions, and setting tones for digital transformation

An insightful corporate board can help to develop a strong corporate character by hardening the soft success factors such as culture:
Culture as collective mindsets, character, behavior is part of the corporate brand, the corporate board should oversee it. Corporate character means many things; it’s a sort of collective values, attitude, integrity, intelligence, and reputation, etc. The cultural perspectives include the totality of values, vision, mission, strategy and risk appetite, behaviors, practices, etc. In fact, culture and brand are the most important "soft" elements that a company will make since they will define how the company interacts with its various stakeholders. BoDs need to crucially enhance a robust corporate brand, develop a solid corporate reputation, and make a long term influence on orchestrating the business ecosystem to drive desired change consistently.

Many say boards do not pay enough attention to the culture within the company. Since cultures can undermine strategy, they certainly should be concerned and seek assurance that the culture is aligned with the strategy. Leadership inspiration is a tough journey to facilitate open dialogues and encourage progressive changes. Corporate boards as one of the top leadership pillars should practice open-minded leadership, set the tone and be bculture cognizant, create the space for cross-boundary dialogues and debates, set the right risk-taking appetite, as maintaining and developing the culture of the organization is the most important task for the senior leadership team. The corporate board’s oversight of business culture, character, and competency is to ensure that all different hard and soft success factors are aligned to enable strategy implementation, and reputation building seamlessly .

An integral, harmonic approach to practice GRC discipline has to be put at the priority of the corporate board in the digital age:
Uncertainty is a future event that can be mitigated by the acquisition of new knowledge. Governance provides monitoring, measuring, and enforcement mechanisms to corporate management. The purpose of the governing body, or board of directors, is to oversee strategies, manage the custodial responsibility of shareholders’ value, direct and guide the organization in the right direction in face of “VUCA” reality. In reality, sometimes, the board itself is apprised of the most significant risks facing the company; as there are many senior leaders who fail to deal with blind spots because they have a very homogeneous team who always “think the same”; they hold certain conventional wisdom which stifles changes.

Due to continuous disruptions and ever-changing business dynamics, companies today have huge pressures to survive and thrive in a hypercompetitive economic dynamic. Organizational governance, risk management, and compliance must be integrated to achieve business agility and resilience. Senior business leaders such as BoDs should bring the fresh insight of corporate governance to achieve digital agility, cultivate the right dose of risk appetite to encourage innovation, balance a company’s long term vision and short-term demands of investors. To improve organizational agility, the beauty of conveying the corporate board's governing style is a perspective: C-level could read it and see it if they would be a good fit.

The beauty of the digital landscape is the fresh insight of business innovation and societal advancement. Sometimes organizations go stale, from the boardroom to the front line, they need fresh insight and a great attitude to make a difference. There are quite a lot of things digital boards need to shape up, and there are so many issues the boards have to deal with for running the high-performance digital business and making the progressive movement.


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