DID YOU EVER INVITE CUSTOMERS AT THE BOARD ?
Jean-Pierre Baeyens
Strategic Spicer at SPICE UP, Professor Emeritus at Solvay Brussels School of Economics & Management (ULB)
It’s been 20 years?since McGovern, Court, Quelch, and Crawford wrote an illuminating?article in the Harvard Business Review,?Bringing Customers into the Boardroom.?They were arguing?"that boards lack a clear understanding of how their companies are meeting customers’ needs and how their marketing strategies drive...growth".?
Looking at the situation today, I’m afraid little has changed. Board discussions still tend to focus mostly on investments, corporate control, and company performance metrics.? ?
STRATEGIC DECISIONS OFTEN IGNORE THE CUSTOMER. Many directors continue to see marketing as a purely operational function, confined to outdated frameworks like the 4P’s.
Strategic marketing decisions—such as identifying markets to enter, positioning value propositions, and crafting portfolios—?often?escape the Board’s oversight. This mindset is both short-sighted and dangerous, especially in today’s volatile, uncertain, complex, and ambiguous (VUCA) environment.
Scroll down for more insights on why Marketing deserves a seat at the Board table and what practical measures you can take to reintegrate the Customer into the Boardroom.
WHY MARKETING DESERVES A SEAT AT THE TABLE ?
Strategic marketing is as vital as financial, social, or governance issues. To be clear, I’m not suggesting that Boards involve themselves in operational matters, like deciding on a new logo or advertising campaign. Rather, Boards must focus on:
Take a moment to dive in?and?find some immediate practical measures below to reintegrate the?Customer in the?Boardroom.?
5 ACTIONABLE STEPS FOR BOARD?CHAIRS AND DIRECTORS
1. Invite Real Customers to Board Meetings
At least once a year, Boards should hear directly from customers. As Hans Hickler noted in?The Huffington Post, “Nothing beats engaging directly with the customer.” Customer discussions should complement the review of survey results, engagement metrics, and segmentation data, providing a human dimension to strategic decision-making. For example, each year,?late Pierre Klees,? then?Chairman of Brussels Airport, was inviting the CEO's of the company's?5 biggest clients at a Board meeting to listen and reflect on their needs and satifaction level. ?
2. Create a Strategic Marketing Committee
In addition to existing committees (e.g., audit, strategy, nominations), Boards should establish a Strategic Marketing Committee. This group should:
3. Include Marketing KPIs in the Board Dashboard
Financial reports focus on the past and present; marketing reports look to the future. Boards must regularly review metrics such as:
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4. Appoint Marketing Specialists to the Board
Marketing today is as technical as IT or accounting, yet many view it as intuitive and easy to grasp. With the rise of analytics, 360-degree multimedia campaigns, and advanced marketing intelligence systems, marketing has become a highly specialized discipline. Boards need directors with marketing expertise to interpret complex data and avoid over-reliance on management’s explanations. ?
5. Evaluate Marketing Talent Regularly
Modern marketing requires a blend of analytical skills, creativity, and agility. The Chief Marketing Officer (CMO) role has transformed dramatically over the past decade. Boards must ensure the company attracts and retains top marketing talent capable of navigating this complexity. This involves assessing the balance of skills within marketing teams and ensuring their alignment with the company’s strategic goals. ?
WHY THIS MATTERS ?
For too long, Boards have treated marketing and customer matters as secondary issues. In today’s dynamic business environment, this approach is no longer tenable. Marketing drives innovation, customer loyalty, and corporate reputation—all critical components of long-term success.
Boards must recognize that marketing is not just an operational function; it’s a strategic necessity. By integrating the customer’s voice and marketing expertise into their discussions, Boards can make more informed decisions, anticipate market changes, and ensure sustainable growth. ?
Let’s bring the Customer back into the Boardroom. Your future depends on it.
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1 个月Thanks Jean-Pierre for these insights.