High Performance Boards. Didier Cossin

Читать онлайн книгу.

High Performance Boards - Didier  Cossin


Скачать книгу

      Cover Design: Wiley

      Cover Image: © sorbetto/Getty Images modified by Wiley

      Author Photo credit: Headshot Pro, Christophe Senehi

      Didier Cossin is professor of governance at IMD, Switzerland. He is the founder and director of the IMD Global Board Center, the originator of the Four Pillars of Board Effectiveness methodology and an advocate of Stewardship.

      Prof. Cossin works with sovereign wealth funds, large corporations, non-profit organisations, families and institutional investors on governance and stewardship issues. He is an advisor to central banks, regulators and international organizations across the world.

      He is the author of other books such as Inspiring Stewardship, book chapters (such as Governance Risk: A Guide for Investors) and articles in the fields of governance, investments, risks and stewardship. He is also principal author of a proprietary methodology of investment selection on governance that is used in financial markets.

      Prof. Cossin holds a PhD in Business Economics from Harvard University (Robert C. Merton chair), is a former Fulbright Scholar from the Massachusetts Institute of Technology and is a graduate from ENS, rue d’Ulm, Paris as well as of Sorbonne University and EHESS.

      Many have contributed, directly and indirectly, to my work and to this book. Of those that contributed directly, I am particularly indebted to Sophie Coughlan and Abraham HongZe Lu. Both Sophie and Abraham have helped me directly in my practice and shaped several of the chapters of this book. This book would not be there without their contribution. I am also grateful for the many others that contributed to this work: Quentin Dufresne, Francesca Vitucci, Julie Poivey, Martin Kralik, Richard Eames. And for a personal collaboration that has addressed many of the issues hereby described, Loic Frank.

      Governance, or the quality of decision-making at the very top of an organisation, has become central to success. But although an effective board can be a huge asset in this regard, boards often fail their organisations – typically in the areas of risk management, strategy, the selection and support of the CEO and senior management, and integrity. Making boards more effective, therefore, is crucial to improving governance around the world.

      My own interest in the subject began more than 30 years ago, when I studied the governance of risk. I was fortunate to have many inspirational teachers, including five Nobel Prize winners – one of whom, Robert C. Merton, chaired my PhD committee. In parallel with my mathematical work, I quickly became convinced that the human element is crucial to effective governance, and my interest in psychology, philosophy, and ethics increasingly shaped my approach.

      In the decades since, I have worked with boards across the globe to assess and improve governance – in big global companies, sovereign wealth funds, government bodies, international organisations, non-profits, family businesses, and tech start-ups. Over the years, I have developed a systematic approach to increasing a board's effectiveness that rests on four pillars: the quality, focus, and dedication of individual directors; sophisticated information architecture; well-functioning structures and processes; and, healthy group dynamics and board culture. By focusing on continuous improvement across all four dimensions, my methodology has repeatedly shown its ability to transform boards for the better.

      Diagnosing governance problems is often relatively straightforward, although in some rare cases the causes can be deep and hidden, especially with integrity failures. Improving governance, on the other hand, is often a longer-term process, requiring a gradual, sustained effort over several years.

      My colleagues at IMD business school, and especially the team at the IMD Global Board Center, have contributed hugely to the content of this book. So, of course, have the thousands of board members whom I have had the pleasure of working with. I pay tribute to them in this book by describing the board experiences of a character called Joanne Marker (not her real name). The real Joanne, an exceptional woman of great energy and dedication, has softly (and sometimes not so softly) impacted the governance of three of the world's most iconic large-cap companies and one of its most influential philanthropic organisations.

      As Joanne's experiences illustrate, good governance is about balance, responsibility, and genuine personal accountability. I therefore hope the following chapters will inspire you and your organisations to even better governance and further success.

      Didier Cossin

      Lausanne, January 2020

      Joanne Marker and Board Service

      October 2018: At age 69, Joanne Marker had been a senior independent director for over 20 years on the boards of many different companies and public organisations.

      The previous year, Joanne had taken early retirement from her job as head of global marketing at Connect, a major US telecommunications company, where she had worked for more than two decades. Hers had been a rewarding and challenging career, of which she was proud.

      Joanne now derived a different kind of satisfaction from her board service at three very different companies: Connect, international pharmaceutical company Ziogen, and engineering multinational SNB. In recent months a few other organisations had extended invitations, and she was currently evaluating each of them.

      One morning, an email from her nephew Thorsten popped up on her screen.

       Dear Aunt Joanne,

       Exciting news! I just received an invitation to be on the board of Kloetzel & Brothers! First board meeting is next month. I wanted to pick the brain of my favorite board member! Can I take you to lunch


Скачать книгу