The board of directors constitutes the leadership of any business. They sit at the decision-making table and alter the course of a business for the best. They play the biggest role in growing a business and so it’s safe to say that the growth of any business is anchored on the board of directors. The growth starts from the top and flows down to the least staff of the business.
Hence, if the board decides to merge, partner, lay off staff, introduce a new policy, or change the business line entirely, the rest of the members down the business chain follow suit. So the board of directors must act their role right and steer the course of the business to enviable heights.
But how can they play this role successfully in the growth of a business? Well, that’s what we will be looking at below.
5 ways board of directors can contribute to business growth
The Board of Directors can play a major role in influencing the growth of a business by deploying the following means.
1. The right digital tools
It’s a world saturated with digital trends and solutions. The Board of directors can deploy virtual board software to help them improve workflow speed and become more effective in board processes. The board portal comes with great features that efficiently take an online board meeting into a virtual space where there are no limitations.
Furthermore, the board portal software is heavily secured to guarantee the safety of documents, information, discussions, messages, and audio files stored or shared within its domain. The virtual boardroom helps to facilitate board governance which can, in turn, promote the growth of a business.
If you consider choosing board management software for your organization, check out this helpful guide breaking down the essential criteria: https://boardsoftware.net/board-portal-software-selection/
2. Networking
One of the many benefits of creating a board of directors even in a small business is the diversity of experience that they bring. The members are sourced from different backgrounds and they all bring their wealth of experience into the business. However large this diversity is, they need to network more and connect with others to streamline the growth of a business.
On an individual basis, each board member should partner with cohorts in the same business niche and find out what’s the latest, the best practices in the given niche, and possibly try to lure them into the business. The board members can leverage their relationships with other similar brands to hire the best hands and introduce better ideas that will grow the business.
3. Formation of committees
For the board to function proficiently and achieve its objectives faster, it needs to form committees. This also has to do with the structuring of the board. Various committees should be formed to handle specific tasks. This creates a division of labor and enables board members who are seasoned in a particular discipline to function optimally.
Board members who are tech-inclined should chair committees on IT, not board members who are experienced in psychology and vice versa. Members with similar experiences in a given field also need to work under the committees to deliver excellent results. It’s one of the many beauties of specialization, and the board of directors can use it wisely to boost the growth of their business.
4. Commitment
For any board of directors to substantially fast track the growth of a business, they need to be fully committed to the cause. Unfortunately, most boards are filled with members with high egos, who are too engrossed with their lives and barely have time for the business. So they fail to attend board meetings (which is very critical) and fail to deliver on their roles.
When every board member is fully committed to the cause of the business, it will grow exponentially. By contrast, laxity, ego, and dormant participation can ultimately lead to the death of a business. When the head is faulty, every other part of the body feels the negative effect, and when the head is down, the entire body is down. The same could be said for a board of directors that lack commitment.
5. Time management
Time is essential and translates to the big figures. Board members need to manage their time adequately, take breaks where necessary, invest ample time in meetings, and brainstorm ways to transform a business. There should be work flexibility to afford members more time to recuperate, and refresh their minds for better ideas to flourish.
Board meeting time should be held sacred to avoid procrastination which is the thief of time. If the board is disciplined in time management, it’ll be easier to enforce the culture down the hierarchy.
Conclusion
The Board of directors is the livewire of a business and they can actively contribute to the growth of a business or stay passive and watch the business sink. They can play a role in growing a business by actively practicing some of the tips given in this piece while the rest of the team gives their best to the overall growth. The sheer growth of a business whether in its infancy or at a stabilized state is always a collaborative effort, but it starts from the board of directors.
