What Makes a Successful Board Member

A board member who is successful is one who takes their job seriously and makes a meaningful contribution. They should be able to make difficult decisions, to think strategically and to keep the bigger picture in their mind, while providing their own perspective based on their own personal experiences. A well-run board of directors can aid the organization in achieving its goals and objectives by offering guidance and oversight. They will have a keen desire to see their organization succeed, and are not afraid to speak their minds.

While having a wide range of connections is important organisations should focus on attracting people who are deeply about the cause and are willing to give their time. It is also essential to ensure that your board members have the appropriate capabilities. According to Institutional Shareholder Services the boards of Enron and Kmart and the struggling retailer Warnaco had a variety of financial skills and experience. These included former Stanford deans and accounting professors and a prominent Asian financier and the former head the U.S. Government’s Commodity Futures Trading Commission. However these credentials weren’t enough to stop the firms from failing.

Likewise regular attendance at meetings is frequently considered an indicator of conscientious board members. As Stanford GSB adjunct faculty of corporate governance Nell Minow explains, this measure does not differentiate between boards that are good and bad. In fact attendance records for the boards of GE (which was featured on Fortune’s 2001 list of the most admired companies) and successful board member WorldCom have little in common.