Stakeholder Engagement and the Board
At this month's Charles Darwin University / Australian Institute of Company Directors director discussion forum those present discussed stakeholder engagement. Using the publication: Stakeholder Engagement and the Board: Integrating Best Practices by Peter Zollinger as the discussion starter, those present had a robust discussion on what stakeholder engagement means for the Board.
We all agreed that engagement is multifacted. Engaging with stakeholders is the life blood of any organsiation, the participants considered that it was also critical for the Board to engage with stakeholders as it will lead to better governance practices. The findings of recent Royal Commissions have highlighted that Boards need to do more around stakeholder engagement.
The case for stakeholder engagement is well put in the publication:
Companies that excel at stakeholder engagement excel in business. The skills developed through effective stakeholder engagement are invaluable in an increasingly complex world where companies deal with many different relationships that all potentially impact their business. (p20)
As a member of a Board the questions to ask could be something like:
- How do we at Board level hear the voice of the stakeholder;
- How are key stakeholder relationships being managed;
The next discussion session will be held on Thursday 18 April.