Since the financial crisis, Boards of Directors have been under increasing pressure to cultivate a new working regime which benefits the customer base and ensures the future prosperity of the company. The obligation of the Board to meet the needs of this cultural evolution is magnified by growing time constraints, media coverage and public perception.
Earlier this month a Financial Times article posed the question: can the Board successfully make a difference? Here, we're taking a look at how the Board can navigate through change and uncertainty, with the limited time and resources available to them.
Much has been said about the steps companies can take to improve their governance practices and to align with industry ethics. In the article, Field cites transparency, employee engagement, accountability and communication as the pillars of governance success and we couldn’t agree more. Transparency and accountability are a prerequisite for a culture of honesty, clear communication and integrity. For Regulated Industries in particular, who are required to demonstrate these qualities to their Industry regulators, the Board needs to consider a plethora of external as well as internal factors. A recent survey into employee engagement showed that 94% of the world’s most admired companies believe that their efforts to engage their employees have created a competitive advantage.
Beyond managing change in the short-term, the Board has a unique opportunity to lay the foundation to create a company that customers and staff want to be a part of.
In the words of Benjamin Franklin, “well done is better than well said” and so every good plan and idea needs to be turned into a coherent action plan for businesses to reap the benefits. Consider the following questions as a starting point to inform your own action plan:
- What information am I currently using to inform decision-making?
- How meaningful is the information I’m using?
- Are there any blind spots?
- How can I stream this information to regulators?
- Is there one single source of information that can be referenced easily?
- Do staff know who to escalate issues to?
- Are staff aware of the responsibilities their role encompasses? And those of their colleagues?
- How does management measure this awareness?
- Can we measure the policies in place?
- What information is given to staff about learning and development opportunities?
- Where could improvements be made to increase efficiency?
- How well is staff feedback utilised?
- Does the organisation enable self-service?
- Does the organisation support collaborative working? If so, how is this managed?
- How well is information managed across departments/locations?
- How do staff know "what good looks like"?
- How are staff supported to feed upwards?
Field writes that long-term success is no longer a certainty for any business, regardless of size. For businesses to succeed in a changing market, having visibility of organisational information is essential to implementing, managing and adapting to change as the business evolves. A system for managing organisational information can offer a significant resource to catalyse employee engagement, increase visibility of costs and budgets and align staff with the company’s vision.
As recently featured in Pay and Benefits Magazine, Xactium Role Manager, a strategic, cloud-based solution has been adopted by a number of global banks in order to tackle these governance issues. Every company is unique, so a flexible solution is a must to manage governance for an effective top-down approach. Xactium’s system scales for companies of all sizes and rapidly provides meaningful analytics to maximise understanding of the capabilities of a firm’s most valuable asset: people.
Check out our latest online white paper for more information