Digital transformation is increasing the scope of boards’ mandates, opening new fronts for risk and competition. Asking the following five questions will ensure that even non-digital directors are focused on the most important challenges: 1) Does the board understand the implications of digital and technology well enough to provide valuable guidance? 2) Is the digital transformation fundamentally changing how the business (and sector) creates value? 3) How does the board know if the digital transformation is working? 4) Does the board have a sufficiently expansive view of talent? 5) Does the board have a clear view of emerging threats? Board members need to understand the principals of Digital within their respective businesses and in the wider context of their competitive set as otherwise they are leaving themselves wide open to the risks of the management team “Marking their own homework”. |
