Peter Crow
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Space to wait: will it help you be a better contributor?

16/9/2024

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I was fascinated last evening, at a variety of behaviours on display following news that UA787, a flight from Houston to Chicago-O’Hare was delayed due to a technical problem. The captain provided updates, initially announcing the delay and reason. A little later, he came on the PA again, to apologise. Then he added, “that the engineers were working on it, and were confident of resolving the issue soon.”
Some, likely the elderly gentleman I was seated beside, were a little anxious.  He was being met by a family member and did not want to put the family member out at all. His response was to ask the flight attendant for an ETA, so he could make a telephone call to the party meeting him. Others, such as the business woman seated across the aisle, became agitated, as if the delay was the flight attendants’ fault; the impression being that she was busy and important and, therefore, the problem needed to be fixed “now”. Her response was direct: as soon as she had the opportunity, she collected her things and hurried off the flight. Others got off too, without fanfare. Yet others, sat quietly and waited, knowing there was little they could do.
The situation provided an impromptu study of human behaviour and, in particular, how some people seem to have lost (or rejected) the art of waiting.
I wanted to get to Chicago as much as any other passenger, especially having already flown in the care of Air New Zealand from home to Houston. And, a younger me may well have become frustrated at the situation, as the woman who left abruptly. But, I have learned to leave those things we cannot control to others.
As I reflect on the experience, my mind is drawn to board work. The role of director is one of service. Have I allocated sufficient time to not only read papers, but consider them and read further? How patient am I when arrangements do not flow as planned, especially logistical arrangements? Is my schedule crammed, or does it provide space, not only as contingency but also for critical thinking?
The very best directors arrive at meetings prepared, calm, and ready to go, having allocated space before the meeting, to read, think, and prepare questions. The rest, who tend to look harried and unprepared, need to reflect on their situation. Why are they not ready to contribute well? Are they poorly organised? Are they overboarded? Ultimately, are they fit to serve as directors, given the duties they owe?
PS: UA787 departed 57 minutes late, and arrived approximately 24 minutes behind schedule. The Captain apologised once more. Flight attendants were polite. Passengers were looked after. The world didn’t end.
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The map is not the terrain

14/9/2024

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Since time immemorial, man has sought to explore: natural curiosity has led to many discoveries, of previously unknown lands, flora and fauna, and more besides. Innovations and inventions too; discoveries enabling further exploration, and on it goes. Through the arc of history, exploration and discovery has been based upon empirical techniques—going and having a look.
About six decades ago, Jane Goodall put this approach to work as part of her research to learn more about chimpanzees. Her assessment was, straightforwardly, that if reliable understandings of how chimpanzees socialise were to be achieved, they needed to be watched, directly, over an extended period, as difficult as that might be. The extended period is necessary because behaviours change when a new actor arrives. Thus, Goodall’s study could not begin in earnest until the chimps became more familiar with her and reverted to behavioural patterns thought natural. When behaviours reverted, as Goodall thought they might, several new discoveries not previously known were made.
The approach Goodall used, and her discoveries, demonstrated the high value of longitudinal ethnographic techniques when studying social groups and their behaviours. And yet, while this has been understood for decades, centuries even, its application to my field—boards—is rare. Instead, since the dawn of board research, the dominant paradigm has been to collect data about directors, the composition of the board and other data, from outside the boardroom, typically from public databases, interviews and surveys. Such approaches have been deemed acceptable because researchers have found it very difficult to enter the boardroom. Given the only place the board and its work actually exists is in the boardroom, and that the board is a social group, surely the gold standard must be to conduct long-term studies of boards in session (through direct and non-participatory observation), as Goodall studied chimpanzees?
This issue, of using appropriate techniques that explore the subject of interest, not a proxy, was made plain by an ex-military colleague recently; his pertinent remark was, simply, “The map is not the terrain.” What seems to be the case (on the map) may not be the case (in reality). The underlying message was confronting: if you want to really understand, go there, gain first-hand knowledge. And so it is with board research. If we really want to understand how boards work, and how boards actually make decisions and influence performance, not how directors say they do when they are interviewed, watch them over an extended period. Then, possibly, you might be able discern what happens; how directors act and interact; and, even, spot associations between a strategic decision and some subsequent change in organisational performance. The findings will be contingent, of course, because the group is social, the situation complex, and external influences are many and varied.
To date, fewer than a dozen longitudinal observation studies, of boards going about their work, have been published. And, somewhat awkwardly, the reported findings present a different perspective from that commonly asserted by others informed by research conducted away from the boardroom: The capability of directors (what they bring), the activity of the board (what it does), and behaviour (how directors act and interact), appears to be far more important than the structure or composition of the board.
Now, as I wait to board a flight, for yet another international trip to work with boards, my colleague’s comment is ringing in my ear. And with it, a question, “What guidance will you rely on, given the importance of governing with impact?”

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Boardroom effectiveness: Managing difference

2/9/2024

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In recent times, diversity, equity and inclusion (often, DEI) has become topical in many spheres of business, social, organisational and political life, and boardrooms are no exception. The moot is that increased in-group diversity directly enhances organisational (project, team) performance. While this remains unproven, expectations are running high, and there are no signs they are abating.
With this development, tensions have become apparent: between those people and groups who argue that demographic diversity is material to better outcomes, and those who do not; those who assert that boards should be representative of the shareholders or communities they serve, and those who prefer the best governors in the room, regardless of representation, to ensure the best decisions are made. 
These tensions, and the underlying complexities extant both within an organisation and in the wider marketplace, are real. Boards ignore them (or discount or run roughshod over them) at their peril. Difference needs to be acknowledged and harnessed, to draw out multiple perspectives. But directors need to be sufficiently mature and wise to also align their efforts, to ensure great decisions are made having taken various contextual factors into account. This is hard, not only because directors need to find common ground where little may exist, but also because cultural differences tend to run deep and they may be difficult to navigate.
Seemingly straightforward matters are almost guaranteed to become difficult if cultural norms are ignored or brushed over. Consider these cultural scenarios, all of which I have experienced over the past twelve months:
  • Starting the meeting 60 minutes after the advertised time. This was a misread on my part: the hosts started at the advertised time, but not with the business meeting as I expected. There was a formal welcome and a light meal (culturally normal for the board, but not advised to me). Around 60 minutes the after we first assembled, the chair called the directors and visitors together, and the 'formal meeting' got underway.
  • A female board member seemingly ignored. In the West this would be uncommon; indeed it would be offensive for some. But it happened during a board observation in a highly patriarchal community setting. While the group seemed to be accommodating, the woman was present in body only; cultural norms prevented her from speaking or otherwise contributing in any meaningful way.
  • An entire group I was working with went silent on me. The group had been animated and engaged until they were asked a question that put them on the spot. Rather than engaging with the question, or expressing their discomfort at being asked, they simply sat and waited, and waited. After a minute or so, I asked for help. The group 'leader' said that, culturally, they preferred not to debate sensitive matters 'in public' (that is, with outsiders, such as me).
When working across cultures, seek first to understand. Breathe. Invest time and effort to learn how others think; what drives them; how they feel; how their mind works; how decisions are made; and whatever else seems relevant. And, what is more:
  • Prepare ahead of time.
  • Read widely.
  • Ask for guidance.
  • Learn how to ask questions in a culturally safe manner.
  • Listen carefully, especially to what is not spoken.
  • Break bread together (gather socially, over a meal).
  • Travel together (to remote meetings).
  • Spend time in each other's company. ​
The group leader (board chair) has an incredibly important role in this, to draw everyone into the conversation; acknowledge difference, but harness it for the common good.
Finally, a note: The techniques listed here are simply suggestions. But, in my experience, they can be incredibly powerful catalysts upon which relationships can develop and trust can be built. Ultimately, if boards are to have any hope of governing with impact, a sound understanding of 'who' is in the room, and 'how' they think, act and contribute is necessary. Invest time and effort, it'll pay off.​
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Dr. ​Peter Crow, CMInstD
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