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Does Your Board Have a Bell-Jar Ecosystem
1. Does Your Board Have a Bell-Jar Ecosystem?
The progressive boardroom moves the needle away from operating in a vacuum with targeted board recruitment
for the 21st century. While turbulence is not new, its nature and degree present an ever-increasing need for
executive-level acumen to capitalize on opportunities and mitigate risks in the ever-more-sophisticated business
environment. According to Spencer Stuart approximately one-third of the 2014 S&P 500 board appointments
had no previous public company board experience. While adding first-time directors with no board experience
is a step away from tradition, the advantages can far outweigh the risks. As Einstein stated, “The measure of
intelligence is the ability to change.” In a disruptive era, a progressive board prepares for and anticipates critical
incidents outside of the steady state and recruits board candidates from that framework.
Drivers of Change
1. Knowledge: universally available and rapidly obsolete
2. Uncertainty: increased uncertainty and risk
3. Business environment: more global and diverse
For public companies, a few critical incident areas that can define a director search framework are:
Strategy and Performance: changes (disruptive → crisis) that require a company to revise strategy
Transactions: (self-initiated → takeovers) that fundamentally change a business
Reputational Risks: (major accidents → activist investor actions) that require a stand-out response
Those that have been tested in the fires of disruption and transition show a capability for value creation in
today’s world. These are “turbulent times,” and competing and succeeding in this environment requires
directors to focus on what really matters and show a track record of due diligence.
If your board is considering the addition of a first-time director, here are few things to keep in mind:
Obtain solid references from executive-level professionals who have worked with the candidate on a
day-to-day basis and have intimate knowledge of their leadership competencies.
Look for a honed ability to absorb, analyze and process a great deal of complex information to identify
pertinent questions.
Identify the skill and savvy to balance a sense of unity with openness to all relevant information that
may risk a fracas from time to time.
2. Tracy E. Houston, M.A. is the President of Board Resources Services,
LLC. She is a refined specialist in board consulting and executive
coaching with a heartfelt passion for rethinking performance, teams, and
the boardroom. With a focus on leadership, strategy, and risk
management, she consults primarily with directors, presidents, and senior
officers to provide input on high level, sensitive, and complex issues.
Sometimes called the Chief Potential Officer, Tracy has a background that
includes sitting on a number of boards, board consulting, and coaching for
potential. She develops unique insights into the vital role of human
interaction and the inevitable fusion between barriers to growth and
success. Extensively published, Tracy has written hundreds of blogs that
are featured on numerous award-winning websites and has a monthly
board column hosted by ColoradoBiz Magazine. She is the creator of the
Board Guru™ eBooks –a corporate governance leadership series.
Her company, Board Resource Services, has a website at
www.eboardmember.com and www.eboardguru.com. Follow Tracy on
Twitter @BoardGuru. Headquartered in the Denver, Colorado area, Tracy
is an avid hiker.
Consultant to Boards, Author of Board Guru™ eBook Series and Previous Sitting Director
– Triple Crown Value Proposition