No success without succession: Janine Stewart

The Mainzeal case highlights the importance of board skill sets and the need for succession planning.

Those points have come into sharp focus since Mainzeal because the financial situation was dire at the time. Had they reflected on whether they should have gotten expert advice, or considered stepping down, I wonder about the impact on their liability.

As a result, today, ‘liability’ might reverberate more forcefully in the governance landscape, regardless of the type of board or industry.

Directors can guard themselves against risk by expanding their knowledge. Like the need for continuous self-development to training at the gym or being in a relationship, ongoing work is required.

Boards must have regular evaluations and members need to identify the right time to step down.

There is a risk in people staying too long. There’s also an important aspect of maintaining institutional knowledge, so it’s about striking a balance to ensure you’re bringing your best self to the table.