As we ramp up for The Private Company Governance Summit 2026, which will take place June 10-12 in Washington, D.C., we are speaking to our panelists to get a bit of insight on the topics they will be discussing at the event. Today, we speak with Paul Neustadt, third-generation owner and executive chairman of Neuco Inc., about the subject matter of “The Art of Board Assessment and Refreshment,” the session he will be participating in at PCGS 2026.
PCD: How do you as leaders of the advisory board decide when the value of deep institutional knowledge is being outweighed by the need for a new perspective or area of expertise, and what makes you actually act on that decision?
Neustadt: In my experience, the primary driver is adhering to the governance framework established when our board was formed five years ago. From the outset, we were intentional about implementing a board rotation schedule. This approach was designed specifically to keep the insights from our independent advisors varied and up to date, ensuring that our board’s advice remains relevant and dynamic. Over time, I have occasionally received feedback from peers that certain board members on their respective boards, after serving for an extended period, were no longer contributing at the same level as before. This underlines the importance of scheduled rotations.
Additionally, by rotating members and periodically conducting a thorough review of the board’s collective capabilities, we are able to identify and address areas where fresh expertise is needed. This proactive approach not only revitalizes the board but also allows us to strategically fill gaps and ensure that our advisory group is fully aligned with the evolving needs of our organization.
To hear more from Paul Neustadt, register today for The Private Company Governance Summit 2026.