The Four Horsemen of the Governance Apocalypse

What happens when governance goes wrong? A set of negative patterns is usually the culprit, with small breakdowns quietly building over time until boards find themselves struggling with trust, clarity, or effectiveness. This episode of the Forward Thinking Podcast features FCCS SVP of Marketing and Communications Stephanie Barton, Chad Klawetter, Vice President of Board Governance and Development at FCCS, and Barb Wilkinson, Senior Board Governance Consultant at FCCS. Together, they examine the four warning signs that, left unaddressed, can seriously undermine a board’s ability to lead, govern, and create value.

 

Episode Insights Include:

Developing the four horsemen

• Board erosion is rarely a catastrophic event. It happens over time, then all at once.

• These common threats are among the many that board members have to keep track of.

• Board members need to ask themselves if they see signs of these 4 horsemen, and what they can do about it.

• These four horsemen can be a starting point for frequent conversations about improvement.

 

Horsemen number 1

• “The board lacks a constructive partnership with the CEO.”

• A healthy board partnership is built on trust.

• It is obvious both in and outside the boardroom what each person’s role is and how to work together.

• Great alignment is a key sign of a healthy relationship.

• Frequent surprises indicate a partnership breakdown.

• Oversight needs to be balanced with support.

• Knowing whose role is what is critical.

• CEO evaluations can be an effective way to check in on roles.

 

Horsemen number 2

• “The board cedes committee control to the staff.”

• Staff should be part of committee decisions.

• If staff start to dominate board meetings, board work can’t be done effectively.

• Excessively long board meetings indicate that governance work isn’t being done at the appropriate level.

• Committees are for boards, not for staff.

• Boards can reclaim committee meetings without alienating staff by resetting the committee charter.

 

Horseman number 3

• “The board doesn’t follow a regular practice of self-evaluation.”

• Not everyone seeks out constructive feedback, and many resist it.

• Consider what feedback is needed.

• Anonymous feedback allows members to speak freely about concerns.

• The board is entrusted to evaluate and manage itself, and needs to exercise maturity and self-awareness to do so effectively.

• Peer evaluations from other board members can help with better self-evaluations.

 

Horseman number 4

• “The board doesn’t tell itself the truth about its culture.”

• Board culture can be defined in a variety of ways, including the norms, expectations, and behaviors of the board.

• Culture is as powerful as gravity, with massive implications on every aspect of governance.

• Culture should not be relegated to a soft skill that can be put on the back burner.

• Board culture can be built in a variety of small and effective ways.

 

Common blindspots in the boardroom

• Avoidance of conflict causes problems.

• Tools can be brought in to support board members.

• A homogeneous board is not ideal; healthy debate and conflict will produce better results.

• The idea of a CEO answering to multiple bosses can be awkward, but it is part of board protocol.

• Healthy debate should be encouraged in the boardroom.

• Psychological safety is an essential component of productive conversations.

 

First steps to addressing the horsemen

• As a board, be honest with yourself about what’s happening.

• Take five minutes at the end of each board meeting to debrief.

• Recognize that people have good intentions, but good governance is a process.

• A horseman can be a powerful, trusted asset to a board.

 

This podcast is powered by FCCS.

 

Resources

 

Connect with Chad Klawetter – Chad Klawetter

 

Connect with Barb Wilkinson – Barb Wilkinson

 

Get in touch – [e-mail]

 

“Rarely do we see huge, catastrophic things happen on boards. It’s usually something gradual, over time, that leads to a more significant problem.” — Chad Klawetter

 

“A healthy board partnership is built on trust.” — Barb Wilkinson

 

“Culture is invisible, but also so powerful. Everything else is built upon it.” — Chad Klawetter

 

“Having good intentions is not enough. Having good governance is a process.” — Chad Klawetter

 

“It will always take team effort for the team and the board to keep moving forward.” — Barb Wilkinson