Efficiency of the boardroom is a major factor in maximizing board performance. It requires an organized and clear meeting structure, constant communication, and a focus on thorough preparation. It also relies on an online portal that lets directors access their meeting materials and share the materials with colleagues online in real-time. These goals are difficult to achieve, particularly for boards with a limited time, due to shorter director terms and constant recruitment.
In an OnBoard webinar corporate advisors Max Franchitto and Tamara Barr discussed strategies for ensuring an excellent level of efficiency in the boardroom. They discussed ways to increase engagement and create a diverse range of perspectives and skills. They also discussed ways to optimize board process and improve individual director performance.
Certain types of boardroom dynamics are harmful to the ability of a board to practice generative government. For example, an excessive desire to achieve consensus and an absence of critical thinking can lead to unproductive discussions and groupthink that hinder the effectiveness of decision making. Similarly, the tendency to dismiss an argument without a complete understanding of its basis can create distrust and diminish the effectiveness of a board.
To avoid these issues, a board should engage in open communication with all directors, and give them an opportunity to voice their opinions and views. Boards can achieve this by encouraging informal and constructive director communications between meetings, offering opportunities for directors to meet common interests outside the boardroom, and also by incorporating “hang time” on meeting agendas to allow new members to meet their fellow directors.
https://usboardroom.com/virtual-data-rooms-a-new-era-for-m-a-deals-in-the-global-business-world/