Criteria for Joining A Corporate Board
I recently interviewed Constantine Alexandrakis a search consultant at Russell Reynolds Associates in Chicago, who also has responsibility for corporate officer searches.
He’s noticed a gradual shift upwards in the last decade of the percentage of women on the boards of the S&P 500 ( a different number than David Matsa used) from 12% to approximately 16% now.
Asked why the number isn’t higher, and he gives a tutorial on how a hypothetical board search considers specific skills for an open board position.
Of highest priority he says is broad general management experience. First choice would be a CEO, currently in short supply because in the aftermath of the recession, boards of directors are insisting that their CEO’s stick close to their own companies and tend to the bottom line.
That may mean opportunity for those with more limited qualifications. Absent a well-qualified CEO, boards of directors will likely turn to a division president who can also claim general management experience.
Third in line would be a chief financial officer.
And, he says, bringing up the rear would be those executives who have risk management, marketing, human resources and legal experience. And it is here that women have the most experience.
Mr. Alexandrakis has this advice for women seeking board positions.
Be very networked, since you never know where an opportunity is going to arise.
Be mindful of the breadth of your experience. If you can offer a company broad marketing experience and financials and a supply chain that puts you ahead of a candidate who can offer only one or two of those functions.
Consider two R’s—reputation and references—and two C’s chemistry and cultural fit
Opportunities on advisory boards for non-profits and boards of private companies can be good proving grounds for corporate boards.
Tags: board of directors, executive search, management and leadership skills, women on corporate boards
