A Board Review is an analysis of the individual and collective understanding of the board’s legal, ethical and strategic roles and duties; its effectiveness in governing the organisation, providing strategic direction, and monitoring performance against that strategic direction. Performance reviews are an essential part of any well-run enterprise but often don’t extend to the board. Board Reviews are also an important development opportunity and are promoted by the Australian Stock Exchange (ASX) Guidelines for Good Corporate Practice. We all have weaknesses and there are always opportunities to do better; the boardroom is no different.
Why is it important to you?
Do your directors clearly understand their roles and responsibilities? Are they straying into operational issues or are they just going through the motions? Do they work well as a team and with the Chief Executive and the executive team? Does the board fully understand your business? Does it contribute well to strategic direction and add value to the business? Or is it just a distraction from the work people would rather be doing?
A TWG Board Review will identify the areas where the board can improve and add more value to the company or organisation’s performance. Conducting regular reviews allows a benchmark and accurate year-to-year readings of performance to accumulate. Experience has shown this to be invaluable insight, not just for sitting directors, but investors and regulators, as well as prospective directors and prospective senior management.
What do you get?
The Walton Group uses its proprietary online tools, drawn from our own and national and international research, together with face to face interviews, which enable us to dig down into the fundamental aspects of a board’s operations, including its ethical dynamic and social environment which is so important to board performance.
The process is carefully tailored to reflect your enterprise’s context and circumstances and is conducted with the utmost sensitivity and confidentiality. Our experience is that participants thoroughly enjoy the process and gain enormous value. The review culminates in a comprehensive presentation to the board and a constructive, no finger pointing, discussion on issues that have emerged. Our reviews provide the opportunity to prepare individual and board development plans to ensure that lasting improvements are made and that the board becomes a learning board, continually developing in its ability to respond and guide the company, whatever the business circumstances.
Reviews can be conducted of the whole board, which includes important board stakeholders such as the chief executive, the executive team and company secretary, and even external stakeholders where relevant. In addition, the review might include peer-to-peer evaluations, and the performance of the board’s committees. Each of these will reveal more about what is really happening at a group and individual level, and the flow-on impact on business outcomes.