Covid-19 has spurred corporate boards to improvise new practices while keeping those that have served them well. Here’s a run-down.
Boards make decisions that have a long-term impact on companies. In a survey of 266 chairs, directors and CEOs in 23 countries between May and June to assess how boards have adapted to the coronavirus pandemic, we found that the pandemic had cemented some long-existing best practices and also birthed a few innovative approaches. We crunched through the responses using a model of effective boards we had developed based on previous research. This model, which we call “3PSC”, defines five factors critical for board effectiveness: purpose, people, process, stakeholder relationships and chair. The following explains in detail our analysis, which we hope might serve as a checklist for better boards in the new normal. Purpose Regularly ar