“Only half of board members say their boards have responded effectively to the global economic turmoil. However, many corporate boards have adjusted their practices, and more want to do so,” reports a McKinsey survey conducted February 2009.
The survey also asked members what actions should be instituted. Those rating leadership as effective overall report the first figure in the chart below:
>> Developing new strategies 60/68
>> Workforce size 30/27
>> Talent Management 19/43
>> Operational spending 46/27
>> Financing needs 35/21
>> Restructuring/ divestment 24/37
Dissatisfaction seems to relate to the boards assessment that the tools and talent exist but are not achieving at expected levels. Satisfied organizations look more to financial tools of the business.
“One of this survey’s implications is that boards need to focus on innovation. In terms of creative thinking, this is sound advice. But organizations should also reconnect with their core mission and core capabilities. In uncertain times, going back to the core is often wise.” concludes Andrew Campbell, author of the study.