29 October 2024

Sarah Pierman from Dynamic Boards is running workshop “Owning the process to create a dynamic board” on day two of the Board Leadership Conference.

Recruiting the right mix of skills, experiences and perspectives for your board is essential to making it effective. So, how can you set the tone as chair to ensure this happens and make sure the governance around the process is top notch?

Here is what you should consider:

Ask yourself if you are truly open-minded.

Who would say they are not? But indulge me in a little soul searching. Do you believe that someone might bring value to your board who is of a different age, gender, ethnicity or perhaps socio-economic or career background.

We often hear the sentiment that it is hard to recruit a person of colour or from a poorly represented background who also has the correct skills for a board role. But that lack of faith that such individuals are out there often hinders the recruitment process. Boards can narrow their search down to the exact type of person they know they’ll be able to find, usually because they’ve recruited that type of person before.

What does “board-ready” mean to you?

Being board-ready doesn’t mean conforming to your usual style and approach. Consider whether it’s time to welcome greater differences in how people conduct themselves in board meetings. This can be the only way to avoid unchallenged assumptions and poor-quality decision making.

It is wise to broaden your sphere of influence to get to know individuals from totally different backgrounds. That will help expand your mind to recognise a broad range of talents and approaches to board roles.

Do you set a positive tone to the rest of the board?

What does your body language say when discussing the topics above? What is your tone of voice? These all have a knock-on effect on the recruitment process and how welcome individuals feel when they join the board. For that reason, it’s important to spend time on these topics and feel comfortable discussing them.

A white male retiree once said to me "I'm not diversity". But if our ambition is to have a true mix of skills, experiences and perspectives on boards, then remember you are part of that mix. Regardless of ethnicity or background, no one person can represent “diversity” by themselves and everyone can help the board diversify thoughtfully and proactively. If you want to cheer others on, perhaps mentor a new NED (whether in your organisation or in another).

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Do you know what’s going on in the NED (Non-Executive Director) marketplace?

Many chairs I’ve spoken to haven’t been aware of how damaging the “pay to view board roles” marketplace has been for encouraging the best possible mix of NEDs onto boards. Make sure you advertise in places that are inclusive to all (i.e. don’t have paywalls or exclusive access models).

If you are using a search firm, make sure to hold them to account on the diversity and skillset of those who apply and those they directly approach. You should also get assurances that they advertise the role properly and don’t just go out to those they have listed in a little black book.

As chairs you have the power to build a dynamic board with a broad mix of backgrounds, experiences and skills. It’s important to be thorough and actively participate in that process to strengthen your board with the right people. I look forward to talking about this more in February at Board Leadership 2025.

Sarah Pierman

Chief Executive, Dynamic Boards

Sarah is Non-Executive Director of Home Instead and Mutual Vision, Entrepreneur and Founder of Dynamic Boards.

Sarah began her career meeting and evaluating over 250 mid-market businesses to assess whether RBS, and latterly Praesidian Capital, should invest. Since 2015, she has worked in tech start-ups, both as a consultant, adviser, and founder. Alongside this, she has worked as a Non-Executive Director on the board of a specialist bank, a home care franchise business, and a banking software provider. Sarah launched DynamicBoards.co.uk in 2020 to shake up the NED advertising market and make it easy (and free!) for people to find and apply for NED roles. She is on a mission to make UK boards the most dynamic in the world.

How the chair can own the process of creating a dynamic board