The BBC Radio 4’s Today programme this morning discussed, again, the importance of having women and minorities in the board of directors for businesses. They also considered why a chair of a board of directors should be independent from the executive.
It appears obvious in all cases that we want to see capable people as part of the board of directors in all companies and organisations. However, despite of regulations and encouraging declarations, most boards are still short in their inroads into these pledges.
Independent and capable women, minority representatives and men acting as a Non-executive Directors or Chairs in a company or institution can bring about different experiences, perspectives and skills that help to formulate the right questions and to propose alternative approaches, outside the typical views that have been kept in the organisation. These questions and views may enrich the discussion and widen the perspective of an organisation and their management. They can promote innovation in many areas and empower these organisations to act more effectively in the changing and less traditional culture we are facing today.
Organisations could move faster and more efficiently in the new cultural, economic and political environment if they incorporate different people from different backgrounds, cultures and capabilities as part of their executive and Non-executive members. If this happens, boards will be predisposed to richer discussions and to finding more creative solutions to their problems and challenges.
What are organisations waiting for before taking action? This is not a matter of compliance, this a matter of upgrading for success!