This piece is part of a series of observations from our past Directors to Watch, encompassing the ways board service has changed since they received the honor and what they are doing to ensure they continue to thrive as board members amid an evolving landscape.
Valerie Woerner
Directors to Watch 2021
Matot, Inc.
Board service has changed since I was selected for Directors to Watch. Key disruptors, like geopolitical turmoil, new tariffs and extensive policy changes, agentic AI, inflation, supply chain challenges, cybersecurity risk, diversity and market instability have magnified complexity and created significant uncertainty.
Resilience, innovation, flexibility, forward-thinking leadership and continuous learning are essential and bring opportunities for long-term, sustainable growth. The cadence for board meetings has changed, requiring significantly more time commitment, some of which is virtual, and increased focus on strategic future discussions and planning rather than a preponderance of management presenting what has happened.
Mitigating risk is key, as is acquiring best-practice technologies and selection and compensation of management. Mentoring young family members joining privately held family companies motivates, supports and provides prompt return on investment for the company.
Climate change and environmental stewardship are increasingly areas of planning. While there was more consensus in the 2010s, there are seriously disparate views at present with numerous stakeholders to be considered.
Increased time and additional board resources are required, as the board must stay on top of critical issues affecting industry transformation. Education sessions should explore issues board members are not sufficiently knowledgeable about. Outside advisors can be beneficial.
A couple of key challenges on a newly created manufacturing board I joined five years ago included an ERP system, the need to retire a key long-term member failing to fulfill their company responsibilities, and the hiring of key talent to align with strategic plans for future company growth and success.
In 2020, we began with three in-person board meetings per year. This increased to four with specific additional project/committee assignments, plus virtual board meetings each of the remaining eight months and approximately three-to-five special virtual sessions scheduled monthly (as needed) on critical topics.
Recently, while serving as a board member to judge an NFL Leadership Crisis Challenge, in our feedback session to the mid-level executives, I introduced consideration of future board service. Their executive team had not thought about this. It’s important to start the dialogue earlier in careers to assure qualified leaders who are capable of dealing with the business challenges of the future.