Create a high performing board
– focus on competencies.
Board topics are hot stuff in Denmark. The debate concentrates on; do the members have the right competencies, if not, what are the right competencies and how do they get them.
Boards have two main responsibilities, one is control the other is development of the business. The control part requires skills within finance and a trustworthy business approach. The development competencies are more complex as they require strategic skills combined with behavioral competencies.
Many boards are characterized by:
- Members work primarily together during board meetings
- Members of board are often member of more than one board
- Members with different professional background
- 4 – 6 meetings a year of 2 – 5 hours duration
It is obvious that this set up for boards does not leave much room for strategy and development of the business, and therefore control is what primarily is on the agenda on board meetings.
Research shows that boards that focus more on development than control drive businesses forward. These boards spend more time together, work between meetings and, deliver input to the agenda – they work as a team.
To create a high performing board it is needed to improve personal competencies; to be aware of and develop behavioral competencies; the better members know each other the faster and better they create results together. The combination of financial skills, business understanding and how to use the member’s personal competencies is what create a high performing board.
Competency Match deliver a competency framework to be used for development of boards. The process of identifying competences related to strategy and making a follow up plan takes 3 – 5 ours depending of numbers of participants