The value of the NED as a ‘critical friend’ on your Board
If there’s one thing about board development that Adrian Wheale is passionate about, it’s the role of the ‘critical friend’.
As JGA’s Associate, Executive Resourcing, he sees first-hand how the ‘dissenting voice’ of an Independent Trustee or Non-Executive Director can make a senior team more effective, through the independence and challenge it brings.
So do organisations understand the true value of the board-level ‘critical friend’?
Although the ‘critical friend’ is enshrined in UK Corporate Governance, Adrian’s experience is that some boards still seem to only pay ‘lip service’ to it.
This is despite recent high-profile organisational failures showing the damage that can occur when a ‘critical friend’ is absent at a senior level – or when their voice is discounted and goes unheard.
The value of rigour and challenge
‘Too often, not enough thought is put into the fundamental engineering of our top teams and, similarly, not enough credence given to the critical friend role,’ Adrian reveals. ‘We promote on competency and technical skill, but rarely on acumen and independence of thought or views.’
He also challenges the assumption that liberal, inclusive organisations (and their leadership) are any less prone to the risk of group think than other types – or models – of business.
‘The critical friend’s ability to ask ‘Why?’ – or ‘Why not?’ – at key moments brings invaluable rigour and challenge, ensuring that a fail-safe exists,’ he explains. ‘Engineering a board from a more diverse base will address the risks of group think, but it’s the critical friend who adds ‘steerage’ to the process.’
‘The critical friend’s ability to ask ‘Why?’ – or ‘Why not?’– at key moments brings invaluable rigour and challenge’
Adrian Wheale, Associate, Executive Resourcing
Strengthening board diversity of thought
Adrian’s appreciation of the role of the ‘critical friend’ in successful board development reflects his commitment to strengthening diversity of thought at senior levels – and ensuring that it is captured in a useful way.
Yet genuine diversity of thought doesn’t just happen. It starts with an organisation’s Constitution (or equivalent) and should run through its purpose, values, vision and goals. It must be revisited regularly to sustain its impact on leadership culture and supported to add value and grow.
‘Diversity of thought should be a separate agenda item,’ Adrian asserts. ‘If it isn’t called out it isn’t valued.’
Identifying the gaps an NED ‘critical friend’ could fill
Adrian’s executive resourcing experience has shown him why being able to assess a senior team’s psychological and values balance is fundamental to building stronger boards.
Psychometrics can be very useful when profiling their mental diversity and identifying the gaps that a ‘critical friend’ could fill.
‘Fixed-term tenure on boards is a good way to ensure things don’t get stale as well as appointing a truly independent Non-Executive Director, Trustee or Employee Rep to challenge your thinking as a critical friend.’
The right board directors in the right roles
The good news is that Adrian’s not alone in his appreciation of NEDs, as demonstrated by last weekend’s Sunday Times Non-Executive Director Awards where the winners were, he says, ‘exemplars of getting this right’.
So what should you do next?
At JGA, we have a track record of successfully supporting EO and values-led organisations with their board composition and development – including during and after EO transition. Our Executive Resourcing and Independent Trustee Resourcing services connect clients with the highest-calibre candidates for their senior roles. We also enable organisations to build Trust Board effectiveness.
To find out more