WED | Growing businesses with specialist boardroom executives | Traditionally, boardroom positions have traditionally been given to people with experience running a business, for example, current or retired CEOs. Other times, the board of directors are shareholders themselves, or representatives of the shareholders. As a result, there have been various complaints about boardroom compositions in several organizations, with claims of underperformance being quite common (https://www.financialexecutives.org/FEI-Daily/December-2017/nearly-half-corporate-directors-believe-fellow-mem.aspx).
However, the changing business world is also forcing boardroom recruitment to change, and one of the top ways being used to revolutionize boardroom composition is by bringing in specialists in the boardroom. If you are running or looking to start a business, recruiting specialized boardroom executives (as does Stone Executive in the UK here: https://www.stoneexecutive.co.uk/industries-and-functions/function/board-level-recruitment) can help to significantly organization, leading to better growth.
Benefits of Hiring Specialist Boardroom Executives
Basically, a specialist is a person who is an expert in a certain field. Therefore, recruiting specialists in the boardroom means hiring experts in various fields, instead of hiring a person and giving them the responsibility of a particular field/division even if they are not qualified. Examples include hiring technology experts and communication experts to hold the boardroom positions of Chief Technology Officer and Chief Communication Officer respectively. This practice can offer your organization several benefits, which include:
- Improved performance and increased productivity
While the board of directors (overview here: https://en.wikipedia.org/wiki/Board_of_directors) may not be tasked with the day to day running of the organization, they hold the top leadership position in an organization. Therefore, the tone they set trickles down to the lowest positions in a company. Having qualified executives in the boardroom thus sets a high pace, which helps to improve performance throughout your organization. The end result of this is increased productivity, which helps to improve the bottom-line.
- Better decision making
Boardroom members are tasked with coming up with corporate policies and strategies. They also make important decisions in regards to budget, resources allocation, corporate culture, and other important decisions. Given the importance of the decisions they make, having specialists in the boardroom is vital for making the right decisions that will help a company grow.
For example, having a marketing specialist in the boardroom will help to ensure that the decisions made with regards to marketing strategies are sound and effective. On the other hand, if the marketing decisions are made by people who are not qualified, there is a high chance that some of the decisions made will negatively affect the company.
- New and innovative ideas
Recruiting specialist boardroom executives ensures that you have a diverse talent pool. Specialists executives are also experts in their field, and they have in-depth knowledge of the latest groundbreaking practices, technologies, etc. Bringing them together in the boardroom thus helps in the generation of fresh and innovative ideas, which in turn help in the creation of great strategies that will improve the growth of the business.
- Improved corporate governance
Corporate governance basically refers to how a company is controlled and operated, (i.e., governed https://www.investopedia.com/terms/c/corporategovernance.asp). The board of directors is a vital aspect to corporate governance, and thus their composition will greatly affect the control of the organization. Having skilled specialists in the boardroom means that you have qualified people making the decisions as to how a company is run, which promotes strong and good governance. This, in turn, promotes the smooth running of the organization, clarity, and financial sustainability, among other benefits. As a result, your business is able to operate effectively and efficiently, which leads to improved growth.
- A better understanding of the customers
In traditional boardrooms, issues such as branding and marketing are rarely discussed, unless it in regards to overall performance, risk and reputation, budgeting, and so on. As a result, some companies experience a disconnect between the corporate strategy and branding and marketing strategies, something that might lead to a poor customer experience.
Hiring specialist boardroom executives can help to overcome this challenge. This is because specialists have a clear understanding of customer needs, due to their extensive experience in their fields (more info: https://hbr.org/2004/11/bringing-customers-into-the-boardroom). On top of that, some of the specialists who you can bring into your boardroom include Chief Marketing Officers, who can help align the corporate strategy with your business’ marketing and branding strategies.
- Improved corporate culture
in some organizations, there is usually a huge gap between boardroom members and the staff, even senior level management (not in the boardroom). The end result of this is a number of problems such as poor governance, inefficient decision making, ineffective communication, and so on. The disconnect can also lead to a toxic culture in the organization, especially when the power is concentrated in a few individuals (in the boardroom).
Recruiting specialists into the boardroom can help to avoid most of these problems by revolutionizing the boardroom culture. Having qualified specialists in the boardroom who are recruited through the due process will help to bridge the gap between the boardroom and other staff. It will also lead to better boardroom-staff relationships (tips can be seen at: https://boardsource.org/fundamental-topics-of-nonprofit-board-service/board-staff-partnership/), which will go a long way in improving the corporate culture.
- Encouraging career progression in the organization
When most people in an organization plan for their career progress, the boardroom is usually not in their sights. This is because traditional boardroom positions are usually very difficult to attain. However, by recruiting specialists into the boardroom sends a message to all employees that people with the right skills can progress their careers up to the C-suite level. As a result, employees will be encouraged to perform better and progress their careers so that they can land the coveted boardroom positions.
How to Land the Best Specialist Boardroom Executives?
Recruiting talented specialists to fill boardroom positions is a great idea. However, the question of where to find talent is another matter, as these experts are usually high in demand. Thankfully, there are a number of recruitment solutions you can use to find the best experts in the market to join your board.
One of the top solutions is the use of executive recruitment firms. These firms will search for the most qualified specialists, even those who are not actively searching for a job. Therefore, when using them, you are guaranteed of skilled experts who will not only change how your boardroom works but also help to grow your business.
If you are looking to fill your boardroom positions, hiring specialist boardroom executives is the way to go. These experts help to change the boardroom culture leading to better governance, efficient decision making, and the development of better corporate strategies. They can also help to improve the corporate culture and boost employee morale, which will, in turn, lead to more productivity.