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    Is what you see what it is?

    Artificial Intelligence Boardcraft Chairman Complexity Decision Making Performance Strategy
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    I have been based in Johannesburg this week, working with boards and directors in both South Africa and neighbouring countries. What has struck me is their entrepreneurial spirit: their ambition to realise the full potential of the companies they govern. That most are looking beyond compliance-based orthodoxy, for clues to help them get ahead, has been refreshing.

    While conversations have been wide-ranging—from board structures and compositions, to enquiries about the Strategic Governance Framework, corporate governance codes, board pack designs and board meeting frequency—one topic has stood out: artificial intelligence.

    On AI, everyone wants in it seems, but not necessarily to deploy AI tools and agents directly in the boardroom (although some are). Instead, having heard of my involvement with AI since 1984 (I studied the topic and built an ‘engine’ at university), they wanted to hear my perspective on several macro issues—especially how companies might gain, and possibly even sustain, competitive advantage.

    My responses to directors have been fairly candid:

    • Maintain an open mind.
    • Technical advances are racing along. What was bleeding edge yesterday, may well be mainstream soon, or even passé.
    • Don’t try to become an expert—learn to ask great questions of experts.
    • Ensure projects that incorporate AI tools are tested against corporate strategy for alignment. A good question to ask is something like, “How will this project advance our strategic ambitions?”
    • The business case to secure efficiencies and improve effectiveness within business operations, and in the preparation of board reports and administration of board materials, is fairly strong.
    • Encourage staff to try stuff, but in your capacity as a director, be vigilant. Ensure the outputs produced by the AI tools (agents) being trialled are reliable and consistent before committing capital. If reliability is questionable, the likelihood of the board making high-quality decisions is low.
    • Judgement, reasoning and intuition remain, exclusively, human capabilities.
    • Any policies developed need to be policies, not procedures dressed as policy.
    • Be cautious of inflated claims and overzealous consultants and sales people!

    The appeal is great, but so is the hype, so keep Wittgenstein’s aphorism close:

    From it seeming to me—or to everyone—to be so, it doesn’t follow that it is so.

    These are my thoughts, this week. As I listen, read, and learn, I may change my mind. How do you see the so-called ‘AI-opportunity’ emerging?

  • Published on

    Mundane May: one week in

    Change Decision Making Leadership Mundane May Rules

    May 3rd–9th: A week characterised by movement and thought. What drives you?

    To see earlier pictures: May 1st–2nd.

    May 3: On the move, under a watchful eye

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    May 4: No, just no.

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    May 5: My name is …?

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    May 6: For what purpose, and when?

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    May 7: Cables and converters … “life support” while travelling

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    May 8: Taxi!

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    May 9: Even disguised, the answer is apparent, n’est-ce pas?

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    Mundane May: underway

    Boardcraft Decision Making Leadership Mundane May Societal Wellbeing

    Mundane May, a project I decided upon a few weeks ago, is underway. The idea is simple: Take a photograph of an object or scene every day in May—nothing special or flashy—post them with an open mind and see what happens.

    • Will I become more observant?
    • Will I become more patient?
    • Will it help me become a better advisor, husband, or member of society?
    • And, will anyone even notice?

    I do not know, but let's see what captures my attention over the month, and go from there.

    Each Saturday after today, I'll drop seven pictures.

    May 1: onset of Autumn

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    May 2: life in <64 litres

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  • Published on

    On boardcraft

    Accountability Boardcraft Corporate Governance Decision Making Effectiveness Research Value Creation
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    In recent months, there has been a rising level of interest in Boardcraft. Word is getting out it seems, so a précis is probably timely. Curious? Grab a coffee and read on...

    B​oardcraft is a term I coined: a governance-focused initiative help boards operate well in practice—not just describe on paper what they are supposed to do. At its core, Boardcraft is about treating board work (that is, corporate governance) as a practical craft to help boards move from a compliance mindset to a performance mindset.

    Why is this important? Many boards comply with prevailing statutes and governance codes but they, or the companies they govern, still perform poorly. The underlying problem is a barrier lying in plain sight: one cannot comply their way to performance. 

    ​Boardcraft offers a pathway forward for boards wanting to perform well and govern with impact. 

    The big shift is this: Effective governance is not a product of structures, policies, or independence per se; it emerges from the quality of thinking, interaction, and decision-making in the boardroom. ​What is more, Boardcraft is not something I dreamt up at a whiteboard or while driving my old car: it is the product of ground-breaking research conducted a decade ago. In essence, it helps boards understand:

    • The capabilities, activities and behaviours necessary if boards are to exert influence beyond the boardroom, especially on organisational performance
    • How to make high-quality decisions together
    • How to handle conflict and disagreement
    • How chairs can lead effective discussions
    • The board's role in shaping strategy, not just approving management's proposals

    Ultimately, Boardcraft is a mindset to help boards improve their judgement, oversight, steerage and guidance; work as a functional group and make great decisions (think: positive board dynamics); and, ultimately, drive high levels of organisational performance. In effect, to govern with impact.

    Boards and directors interested to learn about Boardcraft, the Strategic Governance Framework (the underlying foundation), and how to embrace a Boardcraft mindset in practice have several options:

    • Workshops and board development sessions (half-, full- and two-day options, fully curated)
    • Tailored coaching and mentoring for chairs
    • Governance diagnostics (to assess how well a board functions)
    • Real-world case studies, rather than textbook or theoretical models

    What to learn more? Check this article, and get in touch with your questions. I'm available globally.

    PS: The headline picture is not a photo of me; it is an AI-generated image. Pretty good eh?

  • Published on

    On complexity, prioritisation, decision-making

    Accountability Complexity Decision Making Governance Leadership Monday Muse Societal Wellbeing Strategy
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    The onset of the latest war in the Middle East has captured the hearts and minds of political and business leaders, and the general population, around the world. The mainstream media is awash with coverage of military interventions and responses, and, now, the choking of the Strait of Hormuz. ​And this is reasonable, for the impacts on global commerce are being felt widely.
    That the situation is complex is axiomatic. But it is not a new phenomenon: the Middle East has been a hot-bed of disputes since biblical times. Muslims, Jews, Ottomans, Babylonians, Zoroastrians, and other groups including colonial powers have fought over land, water, and, latterly, oil, for a long time. If history is a reliable indicator, lasting peace will be difficult to achieve. ​
    The situation is instructive for another reason too: the near-total focus on the subject. ​From mainstream media to business meetings, and in conversations around dinner tables and in local pubs and bars, the topic du jour is the Middle East War (an intentional descriptor, for the scope has long-since reached beyond Iran and Israel). Little else matters at the moment—or so it seems. And yet other battles continue around the world, in Ukraine, Afghanistan, Pakistan, and elsewhere; the climate continues to change; China’s influence continues to rise; and the impacts of Brexit and Covid continue to be felt, despite fading memories. 
    That events beyond the Middle East War are not being widely discussed does not mean they have gone away or are no longer relevant. ​
    The parallels for boards and business leaders are stark: That which is front-of-mind dominates the mindshare. However, just because risks are not discussed does not mean they are not present. Boards that ignore complexity and dynamism do so at their peril. To wit, how often does your board allocate time to consider carefully still-weak signals, strategic risks, various scenarios and interdependencies? In times of great change or disruption, “At every board meeting” is a good answer. 
    If boards are to have any hope of governing with impact amidst complexity, directors need to be on their game. That means preparing well (understanding extant risks, emerging developments, and interdependencies); being actively engaged and decisive in meetings (includes prioritising where and how limited resources are applied); and holding fast to the tenet of collective responsibility after a decision is made. 
    Directors who keep alert and maintain a strategic mindset are more likely to detect still-weak signals, make smart decisions and, ultimately, realise the potential to the company they govern.
    And what is not to like about that?
  • Published on

    Preparing for board meetings: how?

    Accountability Artificial Intelligence Corporate Governance Decision Making Director Development Governance Value Creation
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    The ways board directors prepare for board meetings is changing. Gone are the days when most directors simply turn up for the meeting, open the supplied packs and rely on their instinct as they sit through presentations by management (read: work it out on the fly). Most directors these days are well-intentioned, having diligently read papers before the meeting (having received them via a portal tool, PDF stack or thick package of printed materials). Some of these directors augment their reading with additional enquiries, in an effort to fill in blanks or formulate suitable questions to ask during the meeting. Though a small coterie still rely on their instinct to listen carefully and discern in real-time (read: work it out on the fly, during the board meeting), the world is moving on, and rapidly so. The emergence of AI assistants is proving a boon for smart directors: they are embracing a new generation of tools to enhance their preparation—on the basis that better preparation is an antecedent of better decisions. 
    Preparation takes time, of course, and many directors say,  "It'd be fine if I had the time." My response is curt: "Given the duties you owe, and the importance of governing with impact, what else might be more important than preparing well?"
    In the spirit of collegial learning, how useful are Shekshnia and Yakubovich's insights, and how are you using AI to augment your board meeting preparations (if at all)? Please comment below.