Most industries are experiencing change at lightning speed compared to years past, with technology and global market dynamics often the catalysts. Corporations and other organizations understand that their leadership must change at the same pace to ensure sustained competitiveness. But what they often fail to see—or realize too late—is that their board governance must adapt as well, and more rapidly than in the past.
In this article we present several essential ways in which today’s boards must change and evolve. We cite examples from three Life Sciences market leaders—Pfizer, Merck, and Amgen—to illustrate our points, though our suggestions can apply to most any board, in any industry.
1. Go digital. Digital technologies and communications drive everything that companies do internally and externally, and yet many boards lack in-depth digital expertise. One of Pfizer’s most recent board recruitments is Shantanu Narayen, president and CEO of software giant Adobe Systems. Few boards have the resources to bring in someone of Narayen’s caliber, but Pfizer is large enough to be able to target high-tech firms for their new recruits.
2. Understand modern media and communications. Pfizer’s newest board member is James Smith, president and CEO of Thomson Reuters Corp. The company knows that reputation and media savvy are critical for success in today’s business environment, and Smith makes perfect sense as a director. Amgen’s board includes Frank Biondi, Jr., former head of Universal Studios and Viacom, as well as François de Carbonnel, former CEO of French multimedia giant Thomson S.A. Merck’s board includes former Thomson Reuters CEO Thomas Glocer. Across industries there is a definite trend toward directors who “get” the information age.
3. Go young.It should be noted that, at 51 and 55, Narayen and Smith are Pfizer’s youngest directors. But the average age for the company’s board members is in the mid-60s. As such, don’t be surprised to see Pfizer—and other companies in the same situation—bring a sub-50 director or two on board. Board youth is even more critical for smaller, fast-moving companies. With the millennial generation approaching the demographic size of the baby boomers, and the oldest millennials now in their mid-30s, firms must begin to tap into this younger mindset with board members from that era.
Chief Executive Group exists to improve the performance of U.S. CEOs, senior executives and public-company directors, helping you grow your companies, build your communities and strengthen society. Learn more at chiefexecutivegroup.com.
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.
