Are you BORing your BOARD Members??

I know many organizations where few like-minded people came together and started a business that they believed would be a grand success. A few years later, and after some growth, they are now frustrated and barely able to stand the sight of each other. Each partner feels that the other is suffocating the business and this will ensure the organization fails?

Does this resonate with you too? Are you a part of such an organization or are you seeing such organizations around you?

Let us take another scenario. Are you a one-person company (OPC)? You have started on your own and are now trying to scale your business but you are finding the going / growing is not that easy? Are you now feeling tired?

Does this resonate with you? Can you identify yourself or someone you know with this scenario?

What if I tell you that this is not only your story, but the story of many start-ups, trying to grow their business.

Without even looking at the details and the causes for partnership failures or into the reasons for not scaling enough, I can confidently tell you that it is because there is NO STRUCTURED BOARD governance in your business??

In my 12 years as an entrepreneur, I have seen very few who truly understand the value and significance of a strong board at the helm of their business. Most business owners / CEO’s don’t realize this till they have lost a lot of opportunities and much more, sometimes even their business and many a times, relationships that was intertwined with the business.

In today’s competitive world, if an entrepreneur is not able to show growth year on year, most investors and business evaluators will feel that the ship is ready to sink! Does this feel scary? Honestly, we shouldn’t. Because the writing has been on the wall all along. It is just that we conveniently avoided reading it and realizing it!

So, what is the way out if one is stuck in this scenario of not enough growth or strong disagreement between the partners or both?

The best answer is to have a solid, capable and mature board. And to set expectations all around that the board directions are mandatory to be adhered to. Be ready to take support from people who have done it before, from people who have scaled their businesses, made partnerships work, taken a product / service successfully into market, have had one or more profitable exits. If that means, you have to shell out some money and / or stake, it is well worth it. What a capable board can bring to the table is something that can only be experienced.

Take that first step towards establishing your board for your business TODAY!

Look at it like this. The partners / promoters are like the engine of the car. The various teams are like the wheels of your car. The board is like the steering wheel. To ensure that the car (business) reaches where it has to reach, the engine has to function efficiently, the wheels have to do the heavy lifting, but the board has to give the directions and maneuver the business periodically and make corrections whenever needed.

It is important to realize that in business, it is not about the position you hold. It is all about moving towards your vision and goal, while holding the team together.

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??       Broaden the Scope – Go Beyond! Start engaging the board on strategy, technology and innovation – Board should be spending 80% of their time on strategy. If not, then relook at the priorities and the agenda items put in front of the board. Don’t make the board meetings just a formality for statutory reasons. Let there be a purpose, let there be a meaning to these board meetings. Let these not be BORED meetings anymore, but truly a BOARD meeting.

??      Deepen the Commitment – Invest more energy. A dynamic forward-looking agenda helps ensure the board’s time is well spent and they are invested in your growth. Ensure that the discussions are invigorating to all participants and the board members should look forward to the board meetings, not avoiding them.

??       Clarify the Responsibilities – Finding the right mix of experience and energy in the board members, and knowing how to assign specific roles to them is very important. Ensure that there is clarity in the roles, expectations and responsibilities.

??        Create an Environment of Trust – Effective boards balance a collaborative style with challenging conversations, trust and respect. Remember, disagreements are fine, disrespect is not! Ensure that the environment of trust and respect is maintained between the board members, the CEO and the promoters

Do take the first step needed in building a strong board made of leaders who can support you in your journey??