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What Makes a Great Director Orientation

September 1, 2021

Posted in: WATSON Views

Ask any new director about their orientation process and you’re likely to hear: “it was helpful but it was too much information at once – it was like drinking through a firehose”, “I got a binder but I would have liked more information on…”, or “what orientation?”. Designing an impactful orientation is a challenging balance of ensuring the right information is presented in the right way at the right time. It is an ongoing dance that few boards ever fully master.

A well-designed director orientation requires an appropriate depth of information, presented in a way that allows directors to absorb and understand it. It focuses the director on the most important things while ensuring they have access to a broad base of material to understand the complexity of the organization and its broader context. A well-designed orientation is staged in a way that gives directors a foundation of knowledge to help them add value early on while spreading out learning and information-sharing so it is easier to absorb.

Part of the reason so many boards struggle to get it right is because there is no “right” approach. A thoughtful director orientation process takes into account each director’s background and experience to design an approach tailored address their needs and gaps. A director coming from outside the industry requires much more information on the broader landscape e.g., players, trends, emerging areas, and threats. A director with decades of board experience requires less information on governance and the director role than someone who has served on one or two boards. Every director is unique and comes from a different place.

Director orientation usually covers three broad areas: the board, the organization, and the sector/industry. Within each, it might cover a range of topics depending on the board, the organization, and the director’s background and experience. Some examples of what might be covered include:


The board The organization The sector/industry

  • The role of the board, directors, and committees
  • Board history, culture, and dynamics
  • Legislation and legal duties
  • The board’s role in strategy, risk, financial oversight, CEO performance, HR/culture, etc.
  • The relationship and division of responsibility between the board and management
  • Current board initiatives and priorities
  • Expectations – meeting preparation, committee service, and director contribution, and conduct
  • Logistics – meeting schedule, expenses, honorarium, director liability insurance
  • Technology – board portal and meeting software

  • Strategy and vision – the organization’s purpose, strategy, current business operations, and plans, key challenges and opportunities, key performance metrics, and other relevant initiatives
  • Corporate history
  • Organizational structure and key leaders
  • Major risks and financial position
  • Stakeholder mapping – key players, stakeholder engagement strategy, and roles
  • Organizational culture
  • Talent management

  • Key trends and opportunities/challenges
  • Overview of the competitive landscape

The one constant in designing an impactful director orientation process is time – the process should span the director’s first 12-18 months, with information sharing, meetings, and education spaced out in a thoughtful, progressive way. It should be an ongoing conversation, supported by the corporate secretary, CEO, chair, and others, and incorporating director feedback along the way. Broadly, it should introduce the director to the board, the organization, and the broader sector/industry, providing background on key issues, preparing them for important strategic conversations, and ensuring they understand their role and what is expected of them. Many challenging board dynamics, issues of director engagement, and tensions around the board’s role can be mitigated with a thoughtful orientation process.

 

Like the content itself, the way information is presented can vary based on a director’s needs and how they process information – some prefer to read, some prefer information presented to them with an opportunity to engage and ask questions, and others learn from hearing from individuals firsthand. The best approach is a combination of meetings, presentations, educational opportunities, and site visits, spread over 12-18 months. There are many ways to share information; some examples include:


The board The organization The sector/industry

  • Meeting with the chair
  • Meeting with the corporate secretary
  • Meetings with directors
  • Meeting with legal counsel (as needed)
  • Assign a board mentor
  • Reading or walking through materials:
    • Legislation and bylaws
    • Board manual
      • Governance authority matrix
      • Board and committee terms of reference
      • Director position description
      • Director code of conduct
      • Conflict of interest policy
      • Board forward calendar
      • Meeting guidelines
      • D&O insurance
      • Director compensation and travel reimbursement policy
    • Minutes and materials from board and committee meetings
    • Previous years’ board evaluation results and action plans
    • Board meeting schedule for the upcoming year
    • Annual declaration form (conflict of interest, code of conduct)
    • Bios of directors
    • Directors/senior staff contact list

  • Meeting with the CEO
  • Meetings with key organizational leaders
  • Site visit and/or office tour
  • Meetings with key stakeholders (e.g., ministry/government, suppliers, shareholders, employee groups)
  • Reading or walking through materials:
    • Organizational chart with bios of top team
    • Key organizational policies (e.g., code of conduct, whistleblower policy, HR policies)
    • Strategic plan
    • Operational plan(s)
    • Risk register
    • Details of major litigation (by or against organization)
    • Latest annual report
    • Financial statements (last 3 years)
    • Quarterly financial results
    • CEO position description
    • Internal audit plan
    • Communications protocol

  • Conferences
  • Courses, speaking engagements, and webinars
  • Reading or walking through materials:
    • Materials and minutes from most recent board strategy session
    • Sector reports

It takes considerable time and work to design and deliver a high-quality orientation process, but it is well worth it in the added value you will get from directors who are prepared, up to speed, and understand what is expected of them. Invest early in your directors with a well-designed orientation process.

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Looking Back In Order To Move Forward: What Boards Should Ask Themselves Now

April 8, 2021

Posted in: WATSON Views

As spring returns, we naturally feel hopeful; after all, it’s known as a time for new beginnings. And as the COVID-19 vaccines roll out, we may even feel emboldened to put 2020 behind and look ahead.

If we want to position our organizations to blossom through spring and summer, the truth is that we need to pause and look back; take a moment to reflect and learn. Did the pandemic shine a light on areas that need strengthening? Think risk register, or business continuity plans. What about board engagement? Be honest, how well did the board navigate what was likely a changing line between what is within the purview of the board and of management? Are our leaders at all levels healthy, engaged and ready?

Let’s also look at where we are today. Are we paying sufficient attention to the future of work, the anticipated tough road to economic recovery, or even the opportunity to evolve the board’s practices?

At WATSON, we have used the emerging research paired with our work helping organizations through this extraordinary time to identify eight dimensions of board performance through COVID, and created practice points for an assessment framework. This is what best-in-class boards are paying attention to today, as they learn from 2020 and look forward to what comes next.

 

1. RESPONDS DECISIVELY AND EMPATHETICALLY – Takes action to navigate a complex and changing crisis, with care for people and community in mind

2. ABILITY TO OPERATE IN A NEW CONTEXT – Adapts to a new context for work with safety, security, privacy, and effectiveness

3. MAINTAINS ORGANIZATIONAL SUSTAINABILITY – Balances and supports multiple “bottom lines”

4. CHARTS A COURSE – Adapts plans and strategies to manage today while positioning for the future

5. POWERS UP LEADERSHIP – Ensures leaders are strong, supported and engaged

6. CHECKS THE COMPASS – Keeps the most important values and principles at the heart of the organization

7. ENVISIONS THE FUTURE – Explores forces of change and adapts strategically and operationally

8. GOVERNING WITH INTENTION – Provides effective oversight and guidance through response, recovery, and ramp

 

Start your spring by taking the time to reflect and learn, click here to download the full framework of the eight dimensions and a self-assessment tool. Use it to guide your own thoughts and reflection, or as a tool to start an important conversation in the boardroom. We would be pleased to assist and welcome your reflections and questions.

Let’s proclaim the silver lining of all of this to be learning and growth. With that, we will be able to look back in five years and say that it was the tough lessons of COVID that positioned us for strength and success, and to be better poised for an ever-changing world.

WATSON Webinar Coming Soon!

WATSON will be hosting a webinar on the topic on Thursday, May 6, 12:30 PM ET/9:30 AM PT; details and registration will be available soon. If you would like to receive more information or secure a spot, please email academy@watsoninc.ca.

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International Women’s Day 2021

March 8, 2021

Posted in: WATSON Views

The 2021 International Women’s Day theme, #ChooseToChallenge, is a call to act against bias and inequality, celebrate women’s achievements, and take personal responsibility for change. A challenged world is an alert world.

We each have a role in working towards gender equality. As a board member, you can reduce barriers and increase visibility for women leaders through elevating, amplifying and celebrating their voices. One of the best opportunities to practice this is through recruitment.

Here are five ways you can #ChooseToChallenge your approach to your next executive or director search:

  1. Consider the scope and specificity of executive positions you “require”; the senior leadership pool (after the top spot) is deep with smart and skilled women.
  2. Set a minimum of 50% women candidates on your long list; see #1.
  3. Seek women candidates from operations, engineering, STEM, and other traditionally male-dominated disciplines.
  4. Examine how you define “leadership presence” and ensure there is no gender bias in the assessment language e.g., assertive versus aggressive.
  5. Set a minimum of 25% women candidates from underrepresented communities on your long list.

This year, challenge yourself to create a more inclusive boardroom.

Happy International Women’s Day from the WATSON team.

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Exclusive WATSON Webinar: Do Boards Play a Role in Supporting Workplace Culture?

February 23, 2021

Posted in: WATSON Speaks

This webinar is exclusive to members of the Council of Human Resources Executives of The Conference Board of Canada.

Oversight of culture was a growing priority in the boardroom even prior to the events of the past year, and these same headlines have pulled boards of directors much closer to what this responsibility and oversight of culture really means, and how it manifests in organizational performance. There is a clear trend towards high-performance boards engaging more deeply in the intentional design of culture, culture metrics, and ongoing monitoring of culture. 

Join WATSON Practice Leads Rachel O’Connor (Leadership & Performance) and Sharon Rudy (Director & Executive Search) as they share insights gained from working with multiple boards across sectors and discuss the implications for even greater leadership and influence by CHROs.  They’ll bring the topic: Do Boards Play a Role in Supporting Workplace Culture? to life with discussion, case studies and real experiences.

  • HR Council – Eastern Canada – February 18, 2021
    • February 17-18, 2021 Virtual
  • HR Council – Western Canada  – March 3, 2021
    • March 3-4, 2021 Virtual
  • Joint HR Council meeting (Eastern and Western Canada) – TBD
    • June 9-11, 2021

Learn more here about membership to The Council of Human Resources Executives.

 

 

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