The world over, members of corporate boards are being held to a much higher standard of governance and also face varying legal responsibilities.
Company boards were initially formed to police the organisation on behalf of its numerous shareholders who couldn’t directly oversee the business. However, in practice, boards have transformed into a bunch of part-timers meeting occasionally to oversee a company, rather than active monitors, especially of any wrongdoings.
What can boards do to fix this tricky problem?
In an interview with Cynthia Karena, Andrew Kakabadse, a visiting international professor at the Australian Graduate School of Management and professor of international management development at the U.K.’s Cranfield School of Management, says companies can learn from Australia’s experience. He calls Australia’s boards a “guiding light for the world,” and hails their “profound sense of team work.”