High Performance Boards, 2nd Edition

CHAPTER 35Assessing and Benchmarking Governance Performance

Throughout this book we have argued that the quality of an organisation's governance is a core driver of its performance. It contributes to anchoring decision-making that is aligned with an organisation's mission and values, and is a fundamental factor for a company's lasting growth. The board of directors has a key responsibility to ensure governance quality in the organisation, with its power to ignite strategic choices, elevate openness, and boost stakeholder trust. This leads to smooth company operations grounded in transparency, accountability, and ethical integrity.

Over the past decades, I have worked with thousands of directors from all around the world who have participated in IMD's High Performance Board programme (HPB) – which is designed to elevate the board practice of non-executive board members, and is attended by participants from around the world. During each session, we conduct spontaneous polls to gather insights about their board activities and experiences. Our survey reveals intriguing insights into board effectiveness over time – and what the status of governance performance is today. It may help you benchmark where your board stands.

The survey results offer a unique opportunity to gauge what board members view as trends in board effectiveness across the four dimensions that we have been exploring throughout this book: people, information, structures and processes, and group dynamics. As we have ...