Why this is the most important relationship in your organization, and how to get it right.
Picture an orchestra preparing to perform on stage. The conductor sets the tempo while the musicians bring the music to life, interpreting the conductor’s guidance and adjusting their performance in real-time. When the two are in sync, they create a beautiful, harmonious sound. But if there’s a disconnection, there’s just going to be a horrible noise.
The same goes for your Board and Executive Committee. Boards provide top-level guidance, while executives take charge of day-to-day execution. Both bring something unique to the table, but to be successful, they need to work in harmony.
When Boards and executives fail to align, decision-making suffers. Boards may push strategies that aren’t feasible, while executives may stray from the Board’s mission for the organization without the right level of input. This misalignment can lead to inefficiencies, erode trust, and ultimately harm the organization’s performance.
"We've got to make sure that the decision-making process has enough different voices."
In a recent WeQual event, Professor Charlotte Valeur, a seasoned Board Chair and governance expert, shared her expert insights on why it’s important to have a diverse Board, her own experience as a neurodivergent Board member and how to bridge the gap between Boards and executives.
While Boards have a largely overseeing role, they’re still responsible for guiding and making key decisions.
This isn’t just about gender or race; Charlotte’s own experience with neurodiversity has driven her passion for DEI, especially in the upper echelons of big businesses. “About ten years ago, I realized I was also autistic and have ADHD,” she shares. “So that was a bit of a surprise thrown in from the side that I had to deal with and try to work my way through.”
Charlotte dealt with her neurodiversity by going public and raising awareness and funds through a charity to help others in a similar situation. Her point is that when Boards bring together people with different backgrounds, ages, ethnicities, experiences, and viewpoints, they’re able to tackle challenges from all angles and come up with more creative solutions. Not only that, but they’re more representative of the plethora of people they ultimately serve.
“We’ve got to make sure that that decision-making process has enough different voices,” Charlotte adds.
“The Board’s role is mostly, or primarily, an oversight role. It’s up to the executives to drive forward a strategy that both parties have agreed upon,” Charlotte says.
However, there is occasionally a disconnection between what the Board feels is right and what the executive team feels compelled to do – both from a lens of what is best for the company. This disconnection can then cause a gap and create friction between Boards and executive teams
One common reason for this friction is unclear roles and responsibilities. Boards might overstep their boundaries, getting too involved in the details, or conversely, executives may feel unsupported or micromanaged. Another issue is poor communication – either too much or too little involvement from either side. Striking a balance is key.
Trust also plays a big role. Without it, executives may withhold key details, and Boards may second-guess their leadership.
Finally, differing priorities can create friction. Boards might focus on long-term vision, while executives are caught up in short-term challenges. Without alignment, both groups end up pulling in different directions, to the detriment of the entire organization.
A common obstacle in Board-executive relationships is a lack of role clarity. Boards are charged with overseeing strategy and setting the organization’s direction. Executives, on the other hand, execute that strategy and drive results on the ground. But the lines can sometimes blur, leading to confusion.
According to Charlotte, a successful partnership needs to start with owning the vision, mission, and strategy of any company. “It would often be the executives pulling it together and presenting it to the Board with a recommendation,” she says. “But the Board then has to own it and oversee that the executive will be delivering on what has been agreed in the strategy.”
This is where many organizations stumble. When Board members overstep and get involved in day-to-day details, it disrupts the executive team’s autonomy and stalls progress. “Although Boards ultimately have the entire authority and responsibility for everything, it’s not a Board member’s role to dig into the details,” Charlotte adds. Instead, Boards should focus on setting the vision and strategy while trusting executives to carry it out.
Communication is the cornerstone when it comes to this vital business relationship. Boards need reliable information to make informed decisions, but they can be easily overwhelmed by excessive or irrelevant details.
Charlotte suggests a layered approach to presenting information: “You should have a dashboard that outlines your proposal and what you want from the Board – an executive summary, no more than a page – and then have more detail behind that, that Board members might or might not read.”
At the same time, Boards need to communicate their expectations clearly and offer regular feedback. The idea is to create a two-way flow of information. “What’s needed is a high-level oversight over what’s being delivered, with regular feedback from the teams involved in executing the strategies,” Charlotte explains. Too much information can overwhelm the Board, while too little leaves them unable to have proper oversight. Striking this balance is essential for a strong partnership.
For executives to influence Board decisions, trust is essential.
Building this trust, however, requires a strategic approach. “You should always understand who your Board members are,” says Charlotte. “What else are they doing? Which other Boards are they serving? Have they been speaking publicly on anything, or have they appeared in the press? Try to understand their thinking because that’s what you’re speaking to.”
Authenticity and reliability are also vital when it comes to interactions with executives and the Board. “Trustworthiness; you get that from being reliable, credible, able to hold confidentiality and intimacy, and that’s then divided by the size of your ego,” Charlotte explains.
The bottom line is Boards respond to executives who are credible, dependable, and able to balance humility with confidence.
An essential quality of a strong Board-executive relationship is the Board’s ability to offer guidance without stepping into micromanagement. “You need to be able to speak to people at all levels in the company that you’re serving,” Charlotte says, “and ensure that everything that comes to the Board is actually also happening in real life outside of the Boardroom.”
The COVID-19 pandemic showed us the need for flexibility, as organizations worldwide had to adapt quickly to new ways of working.
“Flexibility is key…” says Charlotte. “Most companies will go down if you have a Board that has a very fixed mindset, ‘this is how we’ve always done it’. That kills innovation straight away.”
Charlotte points to the pandemic as a prime example: “I think those of us who lived through that realized that, ultimately, that kind of flexibility was quite extraordinary.” This level of adaptability is what separates resilient organizations from those that struggle.
For Boards and executives to thrive together, they must be open to adjusting their strategies and workflows to cope with emerging challenges.
A successful organization depends on a harmonious partnership between its Board and executive team. When each understands its role, communicates effectively, builds trust, respects boundaries, and embraces flexibility, amazing things happen – like a well-rehearsed orchestra – to create something far greater than the sum of its parts.
WeQual programs offer a scalable, global solution to help you build your gender talent pipeline from mid-managers through to Board level. Find out more about how partnering with WeQual can help your organization thrive.
Thanks to our Guest Contributor:
Charlotte is an Investment Banker, FTSE Chair and Non-Executive Director with extensive board level experience of IPOs, M&As, turnaround and restructuring.
