By Advanced Boardroom Excellence for HR Magazine
In this article for HR Magazine, Helen Pitcher chairman of Advanced Boardroom Excellence, explains that good governance informs and improves the HRD’s effectiveness in their day-to-day role, so in turn, the HRD’s areas of expertise in the boardroom can help colleagues to understand how best to implement the company’s overall strategic plan.
A place at the boardroom table has long been seen as the ultimate goal for HR professionals. The reality is that they are less likely to do this in their own organisation, but have an increasing chance of achieving it as an NED elsewhere.
The UK Governance Code, published by the Financial Reporting Council, the statutory body that ‘owns’ it, recommends that boards consist of at least 50% independent NEDs, after the executive members and any non-independent NEDs. The HR director is therefore in a highly competitive queue for board membership alongside their executive colleagues.
However, as an independent NED for another organisation, the HRD becomes part of the solution rather than the problem, and can bring to the board a sought-after set of diverse capabilities, skills and knowledge to meet the business and governance challenges companies are facing.