Timeless principles for boards of directors

We often take for granted that things will work as expected. For instance, think about the functionalities of a clock. The ticking hands will tell us the time. The sound of the alarm will wake us up. The stopwatch will determine the race winner. But do we ever think about these mechanisms individually and how they actually work? Further, how does each mechanism combine forces to achieve the various objectives of the machine?

There’s a lot to gain from understanding the moving parts of a complex machine—the biggest one being that each component has to work harmoniously to achieve optimal machine functionality. This same analogy can be translated to board governance for private companies. Certain characteristics are required for each director to achieve harmony across the board. In this article, we explore those characteristics through our timeless concept of boardroom ABCs: attitude, behavior, and candor.

From sustainability and innovation to risk mitigation and economic uncertainty, the board of directors’ responsibilities will constantly shift and expand. Because of this, it’s important for board members to not only possess the right skills and experience, but also the appropriate attitudes, behaviors, and candor for effective collaboration within the boardroom. Coined by Deloitte’s first woman chairman over a decade ago, discover how boardroom ABCs have stood the test of time and continue to inform best practices for private company boards of directors today.