Boardroom INSIDER for… SEPTEMBER

 

HAS GOOD “CORPORATE GOVERNANCE” BECOME A BOARDROOM IMPOSSIBILITY?

 

(September, 2015) The term “corporate governance” was never well defined, but increasingly has been stretched to cover a huge number of agendastoo many, say the lead article in the September issue of online monthly Boardroom INSIDER.

BI publisher and board seminar leader Ralph Ward writes that the general definition of corporate governance as “the mechanisms, processes and relations by which corporations are controlled and directed” has ballooned into a pile-on of strategic, diversity and social responsibility agendas. For example, demands that corporate boards be at once more diverse, more experienced, and include a laundry list of targeted skills will require “incredibly rare hybrids of skills… or expanding boardrooms into convention halls.”

Added to this, the proxy activism trend has brought greater democracy to board nominations — but also battling agendas, with activists pushing boards both for shorter-term gains and longer-term perspectives at the same time.

“Corporate governance has become a catch-all term,” Ward writes. However, “boards being able to do all these things well is another matter.”

Also in the September Boardroom INSIDER:

pink Eight ideas for better, smarter board meetings.
pink How boards should prepare for the SEC pay disclosure rule.
pink How smart boards oversee corporate compliance.
pinkQ&A: Crafting your “board wannabe” elevator pitch.