I've had the opportunity to serve on a number of nonprofit and for profit boards. Taking on a board position is a significant commitment and it is essential that you find the right fit. Remember that although the board is interviewing you to determine if you are a good fit for the role, you are also interviewing the board members and the executive team to determine whether the role is the right fit for you.
Taking on a board of directors role gives you a chance to leverage your professional experience including strategic acumen, financial acumen and governance and compliance skills to help an organization grow. As a prerequisite of considering a board position, you should rule out any conflict of interest, make sure that the role is aligned to your personal and professional interests and goals, and that you are personally excited about and can get behind the company's mission and vision. You should also meet personally with all board members and all members of the executive management team as part of the interview process. During those discussions, here are some key warning signs that may signal the board position is not be a good fit for you.
High Turnover or Dysfunction within the Board and/or the Organization
You discover there has been a recent high profile turnover of board members, the CEO or other C-suite executive, or signs of dysfunction within the board or C-suite such as frequent conflicts or a lack of progress within the organization.
This is a huge red flag and can signal serious issues such as business or financial instability, poor governance practices, excessive workload or stress, toxic work environment or culture or toxic leadership practices.
Misalignment with Culture
Your personal and professional values, beliefs, behaviors, and working style do not align or resonate with the established norms, practices, and values of the board and the company as a whole.
This can manifest in various ways, such as differences in communication styles or decision-making processes, attitudes toward work-life balance, or approaches to diversity and inclusion. In a board or organizational context, cultural misalignment can lead to misunderstandings, conflicts, decreased satisfaction, and a lack of cohesion among members. It can also result in a feeling of not belonging or being out of sync with the group, making it challenging to contribute effectively or feel engaged.
Lack of Inclusivity or Diversity
The board or organization does not reflect or prioritize diversity, equity, and inclusion.
This issue needs to be examined closely and may or may not be a red flag. If the organization is actively trying to change and has prioritized DEI as a imperative, recruiting a diversity candidate for a board role is understandable and admirable. Even in this context, however, if you are a diversity candidate, for example, a woman who is interviewing for a seat on a board that is currently not diverse (all male for example), you should ask each of the board members how they feel about having a woman on the board and about their individual commitment to diversity and inclusion. These may seem like uncomfortable topics but it is important to understand upfront the dynamics of the board and whether a different point of view will be embraced. Otherwise, you are likely to find yourself in an unwelcoming, unsupportive or even hostile environment.
Lack of Clarity / Transparency on Roles, Responsibilities and Decision Making
The board members cannot clearly articulate the role's expectations, responsibilities, or time commitment and/or decision making process, or examples of board decision making appear to be poorly executed.
Lack of clarity in roles, responsibilities, time commitment and decision-making can led to confusion, frustration and discomfort on how the board is managed and erosion of trust among the board members.
Legal or Financial Risks
You discover that there are unresolved legal or financial issues.
Unresolved legal or financial issues are another warning sign. As a board member, you have a fiduciary duty to stay objective, honest, trustworthy and efficient, to exercise reasonable care in all decision-making, and to avoid putting the organization at risk. Unresolved issues may be a sign that the board and the organization does not have adequate safeguards in place to ensure compliance with legal and financial regulations and standard best practices.
Taking on a board of directors role is a big commitment. Making sure the role is the right fit for you is a critical step in ensuring that you will be happy and successful in the role.
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