One in five executives believes their board does not fully trust the executive team to get things done. The news comes amid observations that there is an increased blurring of the lines between boards and executives as companies grapple with a business landscape marked by geopolitical upheaval, technology advances and economic uncertainty.

According to the 2024 UK Board Monitor report from Heidrick & Struggles, the shift is evidenced by findings that nearly three quarters of those polled in the UK say that boards have stepped up their operational involvement.

Alice Breeden, regional managing partner of the CEO and board directors practice at Heidrick, says the relationship between CEOs and chairs is critical but “pressures” are building for more boardroom involvement.

“As the pressures, expectations and responsibilities of board members continue to expand, it is easy to see how this pressure is then put back on executives to provide as much details and access as the board feels is necessary to govern the business.”

Breeden warns: “With this constant balance act adding stress to both sides, the need for a strong pulse on the business without overreaching will continue to be a challenge.”

Day-to-day data

Increased board involvement is mainly showing up in a desire to know more about operations and CEOs requesting more boardroom help due to “demands on their bandwidth”, says the Heidrick report, Board Monitor UK 2024: Navigating shifting sands: Six shifts boards are making to thrive now.

There is also an indication that there is relative acceptance of boards having formal arrangements to engage with workers. The Board Monitor research finds that 61% of UK respondents say boards should engage directly with employees, compared with 34% globally.

The survey found that employees are the group to have grown their influence most over boards, scoring 49%—the same as regulators—while CEOs and leadership stand at 47%.

This compares to only 22% of those questioned who said institute investors had seen their influence expand, or the 13% who identified activist investors as the group with the most impact.

Kit Bingham, head of Heidrick & Struggles’ UK board practice, says multiple sources are now leveraging pressure on boards: these include media, investors, regulators, government and wider society. Issues include ESG, geopolitics, AI and cyber security.

“Combined,” he says, “the challenges and expectations on boards are ultimately greater than ever. Board directors now need breadth of experience, as well as a depth of expertise in particular topics, combined with agility and a willingness to learn.”

The research also details changing approaches to risk management. While most companies still manage risk internally, an increasing number have turned to external experts, with UK directors spending more time on risk than their colleagues in any other region. More attention is now on cybersecurity, AI and geopolitical risk.

The world has become more uncertain. Boards appear to be making adjustments to cope.