Advisory boards have long been a staple of corporate governance, providing valuable insights and guidance to help businesses navigate complex challenges. However, with the rapid pace of technological change and the emergence of new ways of working, the future of advisory boards is evolving rapidly. In this blog post, we will explore some of the key trends and predictions shaping the future of advisory boards.
Virtual Advisory Boards
One of the most significant trends in the advisory board space is the rise of virtual advisory boards. As travel becomes more difficult and expensive, businesses are turning to virtual meetings and teleconferencing tools to connect with their advisors. According to a recent survey, 56% of advisory boards have already moved to also include virtual meetings, with an additional 24% planning to do so in the near future. Virtual fatigue is a fairly new symptom that will delay a migration to 100% virtual always.
Greater Diversity and Inclusion
Another significant trend in the advisory board space is the push for greater diversity and inclusion. Many companies recognize the value of advisors with diverse backgrounds and perspectives and actively seek advisors who bring different skills, experiences, and viewpoints to the table. This trend is likely to continue as companies seek to stay competitive in a rapidly changing marketplace. Obviously, Board Members have to bring the necessary experience so as to really impact a business positively.
Increased Focus on ESG
As environmental, social, and governance (ESG) issues become more prominent in the business world, advisory boards are likely to play a more significant role in helping companies navigate these complex challenges. Companies that prioritize ESG issues are more likely to attract and retain top talent, build customer loyalty, and maintain a competitive advantage. As a result, we can expect to see more advisory boards focused on ESG issues in the coming years.
Greater Use of Analytics and Data
Another trend in the advisory board space is the increased use of analytics and data to inform decision-making. As companies generate more data than ever before, advisory boards are playing a more critical role in helping companies make sense of this data and turn it into actionable insights. The use of analytics and data is likely to continue to grow in the years ahead as companies seek to stay ahead of the curve in a rapidly changing business environment.
Conclusion
The future of advisory boards is changing rapidly, with new technologies, ways of working, and priorities shaping the landscape. Whether it’s virtual meetings, greater diversity and inclusion, a focus on ESG, or the increased use of analytics and data, there are many trends and predictions shaping the future of advisory boards. As companies navigate these changes, they will need to be proactive and adaptable to stay ahead of the curve and maximize the value of their advisory boards. But two things will not change, the search for Board Members will clearly look for candidates that fulfill the additional criteria and the Board will be submitted to valuations.
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