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Someone recently asked me what makes a good board. “Why the question?” I asked. They replied, “Well, I spent hours burning the midnight oil putting together my board paper and presentation, only to find on the day that no one had read it—and no one questioned or challenged the presentation.” Ouch.

Boards. We all know they exist, but do we really understand what makes them tick? Some of my colleagues would consider themselves lucky if they get out of a board meeting unscathed and unchallenged. Others, like me, relish the probing, the asking for clarification, and the occasional ‘hold on, let’s challenge those forecasted expectations.’

A board looks and feels very different when you’re sitting at the table versus presenting to it. But what’s the secret sauce for a great board?

Let’s break it down. What makes the best company board?

The Right Mix of Personalities

Like the team in my recent article comparing high-performing groups to the heist mob in Ocean’s Eleven, a board is like a team of superheroes—each with their own superpower. One might be the strategy guru, another the financial whiz, and yet another the industry veteran with stories so compelling, you’re sure they’ve seen the actual future.

But just like any effective team, it’s not just about diversity of expertise—personality diversity is just as important. The right mix of introverts and extroverts, risk-takers and cautious planners, dreamers and realists creates that magic synergy. A board where everyone is the same (no matter how brilliant) is just as dangerous as one where everyone is pulling in different directions.

Remember, boards are groups of people, not just individuals flexing their skills. It’s about finding that sweet spot where collaboration happens without egos colliding.

As the Harvard Business Review (2017) states, diverse teams are more innovative and make better decisions because they encourage different viewpoints and challenge groupthink. So, bring the dreamers, the analysts, and the practical folks together—and watch them work their magic.

The Role of the Chair: The Director of Chaos Management

In my Ocean’s Eleven article, I talked about the genuine leader that others want to follow. But the chair of a board is something else. Think of them as the conductor of an orchestra. Without them, you might just have a bunch of musicians playing random notes—chaos.

A good chair isn’t just a figurehead. They’re the peacekeeper, the mediator, the person who knows when to let the debate rage on and when to cut it short (especially when someone’s gone off on a 20-minute tangent about their latest “genius” idea).

I’ve certainly sat through meetings where the real important stuff got lost because of a deep dive into some golden nugget that will take 10 years to come to fruition. And the chair just lets it run. No, thank you.

Effective chairs are diplomatic. As Harrison and Murray (2019) note, the chair plays a pivotal role in shaping the board’s culture—establishing trust and fostering an environment where members feel safe to express divergent views, ultimately leading to better decision-making.

Communication: Speak Up or Sit Down

Everything I’ve read says a good board communicates. But a great board communicates openly, regularly, and with purpose. Whether it’s pre-meeting briefs, post-meeting debriefs, or casual exchanges between meetings, communication is key. Boards should create spaces where members are comfortable sharing their opinions—even if those opinions are a little controversial.

It’s essential that all members feel they can contribute. Imagine being in a meeting where one person talks for an hour while the rest just nod along. That’s not a board; that’s a monologue with an audience.

McKinsey Quarterly (2020) found that organisations with boards that promote open, transparent communication tend to have higher engagement and more effective oversight. In other words, the best boards know that silence isn’t always golden—sometimes, it’s just a missed opportunity for insight.

Governance: More Than Just a Fancy Word

We’ve all heard the phrase “good governance,” but what does it really mean in a boardroom? It’s about accountability, transparency, and ensuring the organisation is moving in the right direction—while also keeping its long-term health in mind.

But here’s the thing: Governance isn’t about micromanaging the CEO. It’s about asking the tough questions, challenging assumptions, and providing oversight without stepping on anyone’s toes. At the beginning of this article, I mentioned a friend who felt disappointed by the lack of engagement from their board—and another who thrived on the challenges. That’s governance at its best: engaged, thoughtful, and strategic.

As Zahra et al. (2014) point out, effective governance practices are linked to improved organisational performance—especially when boards focus on long-term sustainability rather than short-term gains. Boards need to hold management accountable but also empower them to make decisions that align with the company’s mission and values.

The Magic of Trust and Respect

Finally, the best boards are built on trust and respect. Trust that members will do their homework before meetings (like, you know, reading the papers), respect for differing opinions, and the faith that each person will contribute something valuable. It’s this trust that allows for healthy debates and hard conversations without degenerating into personal attacks or finger-pointing.

Effective boards also respect boundaries. The board is there to provide guidance—not run the day-to-day operations. Knowing when to step in and when to step back is a vital skill for every board member. After all, they’re there to oversee—not to babysit.

Jensen and Meckling (1976) emphasise that good governance is rooted in a system where trust is mutual between the board and management—creating a healthy dynamic that ultimately drives success.

So, What’s the Secret Sauce?

To answer my friend’s first question about what makes a good board, here’s the recipe: diverse personalities, a skilled chairperson, open communication, robust governance, and a hefty dose of trust and respect. Sprinkle in a bit of humour, the occasional debate, and maybe a well-timed pizza delivery (because who doesn’t like comfort food to fuel great ideas?), and you’ve got a board that can truly elevate a company.

The best company boards aren’t just about making decisions—they’re about fostering a culture where the collective expertise of its members can shine. It’s not magic, but it might as well be.

References:

• Harrison, J., & Murray, A. (2019). Leadership and Governance: A Guide to Board Dynamics. Harvard Business Press.

• HBR (2017). The Role of Diversity in Boardroom Decision-Making. Harvard Business Review.

• Jensen, M. C., & Meckling, W. H. (1976). Theory of the Firm: Managerial Behavior, Agency Costs, and Ownership Structure. Journal of Financial Economics, 3(4), 305-360.

• McKinsey & Company (2020). The Impact of Effective Board Communication on Company Performance. McKinsey Quarterly.

• Zahra, S. A., Hayton, J. C., & Salvato, C. (2014). The Effect of Board Governance on the Innovation Process. Academy of Management Perspectives, 28(2), 137-152.