Board Refreshment, Boardroom Culture and Director Performance

Focus on board composition, director performance, and succession planning has never been greater. With legislation and listing standards mandating diversity on boards, the rise of activist investors, the complexity of operating in a global marketplace, and the disruption of many industries, corporations are under increasing pressure to assemble a board with the right mix of experience, specialized skills, industry-specific expertise, international exposure, and gender, racial, ethnic, and age diversity. Many shareholder advisory firms and investors argue that director tenure should be scrutinized more heavily, with some advocating term limits or mandatory retirement ages to refresh boards with entrenched directors or stale skill sets, and to accelerate the turnover of board seats. Taken together, these pressures can force nominating and governance committees to reconsider the process by which they assess board composition, identify candidates, onboard new directors, and evaluate director performance and board dynamics. This session will discuss successful strategies for ensuring that companies are building and developing the best performing board of directors given the company’s current and projected needs.