The legendary Jack Bogle, Founder, The Vanguard Group, stated in a recent interview that directors need to focus more on creating shareholder value. There are many factors that create good, better and best boards. Here are a few focus points that can help create sustained shareholder value:
• Strategic planning that leverages director experience and wisdom and is reviewed with assumptions vetted on a regular basis.
• An education program that is customized to fill in any gaps that each director may have.
• Director succession planning that looks at current and future needs of the company, recruits from that vantage point, and plans for emergencies and natural off boarding.
• Board evaluation that optimizes value of effort with a prioritized plan of action, uses reports and feedback from a 3rd party facilitator, and integrates findings into strategic leadership and planning.
• Strategic planning that leverages director experience and wisdom and is reviewed with assumptions vetted on a regular basis.
• An education program that is customized to fill in any gaps that each director may have.
• Director succession planning that looks at current and future needs of the company, recruits from that vantage point, and plans for emergencies and natural off boarding.
• Board evaluation that optimizes value of effort with a prioritized plan of action, uses reports and feedback from a 3rd party facilitator, and integrates findings into strategic leadership and planning.