2025: A Crossroads, Not a Crisis

In 2025, boards will face a choice. They can cling to outdated governance models that serve a simpler time, or they can embrace the opportunity to rethink, refine, and realign their practices for a more complex world.

Governance, at its best, is not about control—it’s about clarity, accountability, and the confidence to lead in spite of ambiguity. By balancing tradition with thoughtful transformation, boards can position themselves not just to survive 2025 but to thrive in it.

Because in governance, the true mark of success isn’t doing more—it’s doing what matters most, better.

Here are a few reflection points to keep in mind as you gear up for 2025:

The Myth of Stability in Governance

“The best boards embrace stability not as a goal but as a foundation—one that supports adaptation and agility. Without this recalibration, governance risks becoming a relic of a more predictable past.”

For decades, boardrooms have leaned on stability as a cornerstone of governance. Consistency in process and routine reporting have been seen as hallmarks of a well-functioning board. But in 2025, stability must evolve from a static concept to one of dynamic resilience.

Boards need to ask hard questions about whether the governance structures they have in place are keeping pace with the organization’s evolution:

●????? Are committee structures flexible enough to address emerging issues like cybersecurity or geopolitical risks?

●????? Does the board calendar allow time for strategic foresight, or is it dominated by backward-looking reports?

●????? Are traditional risk management frameworks accounting for cross-cutting risks that span financial, operational, and reputational domains?

Anticipating the Unknown: Governing for Resilience

“Resilient boards view uncertainty not as a threat, but as an opportunity to demonstrate leadership in the face of disruption.”

2025 is shaping up to be a year defined by uncertainty. From market volatility to technological disruption and geopolitical realignments, the risks facing organizations are multifaceted and deeply interconnected. Boards that govern effectively will make resilience a centrepiece of their approach—not as a buzzword, but as a strategic priority.

Resilience doesn’t come from knowing the future; it comes from being prepared for the unexpected.

●????? Rethinking scenario planning: Instead of generic, one-size-fits-all scenario planning exercises, what if boards focused instead on deeply tailored scenarios? For instance, how might your specific supply chain vulnerabilities play out during a prolonged energy crisis—or if a key market suddenly became inaccessible due to geopolitical shifts? Are you ready to ask these "what ifs" that might uncover blind spots?

●????? Making risk registers dynamic: Risk registers are often static checklists—but should they be? Imagine if your risk management process became a living, breathing document, updated in real-time with the latest intelligence. What opportunities might emerge from risks you didn’t initially see as connected?

●????? Breaking down silos: Risks don’t respect boundaries, yet committees often operate in isolation. How much insight might be gained if committees collaborated more dynamically, sharing perspectives on interconnected challenges? What new solutions could emerge from cross-disciplinary coordination?

The Board’s Role in Simplifying Complexity

“Are we adding value to governance, or are we adding bureaucracy?”

As governance grows more intricate—with endless data streams, regulatory demands, and stakeholder expectations—how can boards avoid losing sight of what truly matters? Could simplicity be the antidote to complexity, offering a path to better decision-making and stronger impact?

What truly drives strategic success? With so many competing demands, how do boards determine the 3-5 issues that genuinely align with their organization’s long-term goals? Are we spending too much time on issues that are loud rather than impactful? What would it take to say no to distractions—even when external pressures make them hard to ignore?

Are your committees working in harmony or at odds? Overlapping mandates and unclear boundaries between committees often create inefficiencies. When was the last time your board re-evaluated committee structures to ensure clarity and accountability? How might a more streamlined approach sharpen oversight and decision-making?

Beyond the numbers: Are we asking the right questions? Boards are often flooded with metrics, but how much time is spent exploring what they actually mean? What stories do these numbers tell about the company’s resilience, alignment, or risks? Could a shift from analyzing inputs to interpreting outcomes provide deeper insights into long-term success?

My 2025 Reflection

As I reflect on what 2025 holds, I’m reminded of the immense privilege—and responsibility—boards carry. Governance is not a static practice; it evolves as the world changes around us. Boards are not just gatekeepers; they are guides, navigating organizations through uncertainty with a steady hand and an open mind.

I believe this year will challenge us all to ask not what more we can do but what we can do better. It’s a reminder that our greatest gift as leaders lies in our ability to focus on what truly matters: building organizations that are resilient, purpose-driven, and prepared to meet the future with confidence.

To those who dedicate their time and expertise to governance, thank you. Your work matters more than ever. As we face these crossroads together, I am filled with optimism—not because the road ahead will be easy, but because it will allow us to show what great governance can achieve. Let’s meet 2025 not with trepidation but with determination.

I hope my upcoming book, The Future Boardroom, set for release in April 2025, will serve as a valuable guide for the path ahead. While we wait, here's a free e-copy of my previous Amazon bestseller, Stewards of the Future: A Guide for Competent Boards, to add to your holiday reading list if you haven't read it already! (It's only free until January 6, 2025.)

I wish you a joyful holiday season. Take time to recharge and stay cool, calm, and collected.

See you in 2025!