Boardroom LeadershipTranslating Strategy Into EffectiveAction
Boardroom Leadership2Corporate GovernanceConformance Processes Performance Processes•Financial & Business Health•Complianc...
Board : Manages Backwards, Leads Forward3Fiduciary StrategicKey Question “Are We Doing AnythingWrong?”“Are We Doing Things...
Boardroom LeadershipTranslating Strategy Into EffectiveAction
5Strategy to Execution – The Basics
6Strategy to Execution – The Basics
• Design & Definition of the Company’s Strategy forthe next 5-10 years– Vision & Mission Statements• Planning to Achieve t...
Strategy to Execution – Board’s Involvement8Where do we want to go : Board’s Call to Action, inclose concert with Executiv...
Strategy to Execution – Board’s Involvement9• Design & Definition: Vision & Mission– Through participation in debate and b...
• Planning– Requires detailed analysis, market understanding,competitor tracking etc– Board participation can interfere in...
Strategy Review• How well versed is each business unit about thecompetition?• How strong is the organizational capability ...
• Monitoring and Ongoing Validation– Regular oversight through normal boardmechanisms, such as review of lag/historical da...
• Translating strategy to effective action requires the board to :– Help create the vision and mission and share it– Respo...
Don’t Switch Off14
Finally, What Does the Executive Team Have to Say?• This is what CEOs Would Like to See FromDirectors:– Constructively Cha...
THANK YOU16
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Boardroom leadership : Converting strategy to effective action

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A 2 hour interactive session for the IoD Masterclass at New Delhi.

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Boardroom leadership : Converting strategy to effective action

  1. 1. Boardroom LeadershipTranslating Strategy Into EffectiveAction
  2. 2. Boardroom Leadership2Corporate GovernanceConformance Processes Performance Processes•Financial & Business Health•Compliances•Financial & Fiscal•Secretarial/Co.Law•etc•Board Committees•Audit•Remuneration•Risk audits•CSR•Shareholders’ Cell•Strategic Planning & Alignment•Strategic Decision making•Strategic Risk Management•Performance Monitoring & Mgt.•Scorecards etc•Dashboards•Treasury and Investment Decisions•Continuous ImprovementValue CreationResource OptimizationAccountability & FiduciaryResponsibility•Chairman•Board of Directors (Executive & Independent)•CEO•Co. Secy. / CFO
  3. 3. Board : Manages Backwards, Leads Forward3Fiduciary StrategicKey Question “Are We Doing AnythingWrong?”“Are We Doing ThingsRight…Are we cutting pathsright?“What’s The Plan to Use OurResources Effectively?”“Are We Doing the RightThings…Is it the Right Jungle?”Board Focus Review ComplianceMitigate RisksReview PerformanceShape StrategyPlan for risksGive Direction and GuidanceBoard Process Parliamentary & RegulatoryProcedure (Rule Bound)Logical and EmpiricalDiscussion, ChallengeProblems Are to Be Spotted & managed Anticipated & solvedDecision Making Rule bound resolution Consensual, forward thinkingBoard Sees Its RoleAsOversight and Authority Strategist, visionaryPerformance Metrics Facts, figures, finances, reports,dashboards, scorecards, LAGIndicatorsStrategic Indicators,Competitive Analysis, LEADIndicators
  4. 4. Boardroom LeadershipTranslating Strategy Into EffectiveAction
  5. 5. 5Strategy to Execution – The Basics
  6. 6. 6Strategy to Execution – The Basics
  7. 7. • Design & Definition of the Company’s Strategy forthe next 5-10 years– Vision & Mission Statements• Planning to Achieve the Strategy– Breaking Strategic Plans to Component Elements– Identifying keystone elements– Defining THE tasks and actions that will ensure these areachieved– Assigning these to appropriate roleholders to achieve– Monitoring the execution of the tasks• Monitoring the Plan & Current Execution againstchanged risk profiles, environmental / regulatoryconditions and “modifying on the fly”7Strategy to Execution – The Basics
  8. 8. Strategy to Execution – Board’s Involvement8Where do we want to go : Board’s Call to Action, inclose concert with Executive TeamBoardInvolvement HighBoard InvolvementMedium : Review of Plansand GoalsBoard Involvement Low :Guidance & Support
  9. 9. Strategy to Execution – Board’s Involvement9• Design & Definition: Vision & Mission– Through participation in debate and brainstorming– Providing SME– Providing guidance and direction from experienceand expertiseINVOLVED PARTICIPATIONWill also help in developing a shared vision, rather than animposed one
  10. 10. • Planning– Requires detailed analysis, market understanding,competitor tracking etc– Board participation can interfere in the process– This is an Executive responsibility, best left to CEO &teamBOARD’S ROLE CAN BE HANDS-OFF AND MINIMAL ATTHE PLANNING STAGEBOARD CAN CONTRIBUTE BEST BY A ROBUST REVIEWPROCESS10Strategy to Execution – Board’s Involvement
  11. 11. Strategy Review• How well versed is each business unit about thecompetition?• How strong is the organizational capability toExecute the Strategy• Is the plan sharply focused, or is it scattered?• Are we choosing the right ideas• Are the linkages with people and operationsclear?• How will the plan be followed through?Ram Charan and Larry Bossidy in “Execution” The Discipline of Getting Things Done11
  12. 12. • Monitoring and Ongoing Validation– Regular oversight through normal boardmechanisms, such as review of lag/historical dataanalysis such as financial reports, business growthetc– Combined with understanding and analysis of leadindicators, market and environmental indicators etc12Strategy to Execution – Board’s Involvement
  13. 13. • Translating strategy to effective action requires the board to :– Help create the vision and mission and share it– Respond to executive strategy planning through rigorous debate• The board reviews and challenges• Brings fresh perspective but does not originate the plans– Monitor the implementation of the strategy through oversight tothe operational plans• The Board can’t, and shouldn’t, micro-manage– Look forward into the future and help the executive team tomanage and mitigate risks• Provide the vision , inspiration and motivation– Ensure that guidance and direction are provided when required• Act as the elder statesman/guru and coach to the Executive– Maintain a governance framework that adds value to the business• Ensure that the company and its shareholder’s and all stakeholders’interests are looked after, in conformance to all statutory norms toensure continuity, sustainability and predictability of the businessand also ensuring that you ……..13To Sum Up
  14. 14. Don’t Switch Off14
  15. 15. Finally, What Does the Executive Team Have to Say?• This is what CEOs Would Like to See FromDirectors:– Constructively Challenge Strategy– Don’t Shun Risk or See It in Personal Terms– Do the Homework, and Stay Consistently Plugged In– Bring Character and Credentials, Not Celebrity, tothe TableStudy Conducted by Harvard Business Review and Russell Reynolds15
  16. 16. THANK YOU16

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