In this video, Prof. Lachotzki outlines his three-pronged approach to the issue of board effectivness, involving output, input and enablers. Simply put, the output produced by an effective board is a successful company, but that overriding objective can be further broken down into good products/services, superior return on capital and both strategic and stakeholder alignment.
The input to this output is primarily people, who from top to bottom must feel the proper responsibility for the roles with which they have been entrusted. To achieve that desired output they make use of enablers, also three: fitness criteria (which can be long-term or short/medium-term), the leadership team and strategy. Having established this logically-structured framework for the question of board effectiveness, Prof. Lachotzki provides much of the details and definitions to provide a fuller picture.
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