2023 look-back & 2024 governance predictions

Most notable trends in corporate governance you’ve seen and how are they shaping the landscape?

UK: 

• Revision of the UK corporate governance code. The business community pushed back a lot on the original code during the consultation phase.
• The new code comes out in January 2024 (effective from January 2025) but looks nothing like the original consultation.
• At a business level, companies are starting to adopt ‘ok ways’ of doing governance, not necessarily the best way.
• There are improvements in governance adoption at board level.

Ireland:

• Proposed introduction of the individual accountability framework.
• Lots happening around ESG and governance with businesses moving into doing the right thing, not just answering to regulation.
• Putting a customer lens on decisions, particularly in retail.
• Rise in data governance, digitisation and bringing all employees together around.

What has been the progress in getting more women onto boards:

Middle East:

• Very far from seeing a balance on boards but there is awareness that this needs to happen.
• Seeing more women who are technically geared up to be on boards.
• Seeing an increase in the ways women are finding their way onto boards.

Ireland:

• Lot more talented women in the network of INEDs.
• Women’s experience on boards is increasing which means we’re starting to see more female chairs.

UK:

• A strong cohort of very competent women is emerging.
• Seeing women with lots of different competencies coming to the board.
• The acceptability, receptibility and inclusion of women on boards is more likely to occur now.

What are the most significant challenges facing businesses in relation to corporate governance?

Ireland:

• More and more areas being regulated.
• The quality of information being put forward needs to be reviewed constantly.
• Having capable people on the governance side is challenging.

UK:

• The AI area is a big issue that needs to be governed appropriately.
• Doing the right thing by the organisation and ethically setting the tone right from the top remains a challenge.
• Still a degree of misunderstanding around governance and what it is in some industries.

What advice do you have for people looking to get a role on a board?

Middle East:

• Be technically ready and learn how to navigate to what you need to do.
• Be consistent and patient.
• To add value and relevance, you need network in a consistent way.

Ireland:

• Don’t panic about getting onto your first board, all boards roles take time to secure.
• Keep your confidence up when the process to get on a board is taking longer than expected.
• Be clear about your value proposition to help differentiate you.

UK:

• When you’re on a board, know the business and the environment in which it operates.
• Make sure you come to the board with solutions.
• Offer coaching, mentorship and solutions.
• Ensure you’re not biased, you’re independent and think for yourself.

What mistakes have you made as a board director?

• Not addressing early on whether the environment you’re in is a safe space and respectful of your judgement. To help counteract this, get to know your non-executive director colleagues so that they can support you when you’re having a difficult time in that environment.
• Not being proactive with networking. If you want to connect with people, you need to ask, it won’t come to you.
• Spending time with the wrong networks. Only spend time in networks, or within the industry that you can add value.
• Networking with the wrong people. Make sure you’re networking with decision-makers or people who will take you a step closer to where you want to get to.

What advice would you give someone looking to become a NED in a large commercial enterprise?

• Pick a business you’re interested in.
• Before you get involved, read packs, research other board members and decide if there is a good culture fit with your values.
• There needs to be something that you can bring to the board that other members don’t have. Establish what that is.
• Make sure you are resilient because board environments can get complicated.
• Ensure you’ve enough time to give to the role, otherwise you won’t enjoy it and you won’t add value.

Looking into 2024, what do you think will happen in corporate governance?

• A growing trend for respect for governance and recognition that if you get this right, the rest of the business will succeed.
• Recognition that employee well-being is crucial for the business.
• Taking action around ‘doing the right thing’ rather than just talking about doing it.
• AI moving into the internal audit and compliance space. 
• More training in digital awareness and using AI to be able to challenge potential bias from AI.

What are your thoughts on how we can use AI machine learning to enhance corporate governance going forward?

• Technology will allow us to test whole data rather than sampling, but it will be essential to make sure it’s done in the right way. 
• It will help with traditional governance testing, but we’ll need great awareness of potential bias. 
• There will be a shift in the focus of governance into how to govern AI.
• For company secretaries, it will help with research and broaden access to knowledge and examples. 

2023 has marked a massive turning point in the business world. The emergence and rapid growth of AI being a key player in this change.

Other players continued to be geopolitical risk, economic uncertainty, environmental disruption and the rise of sophisticated cyber threats.

Join our panel of four distinguished speakers as they discuss the predominant governance themes of 2023 and share their predictions for 2024.

The expert panellist will be Sharon Constançon, CEO of Genius Boards and Genius Methods – the Genius Group, Caroline McDonnell, an experienced independent non-executive director and Rose Hindy, Partner, Stanton Chase Dubai. The webinar will be moderated by Katie Burke, Chief Operating Officer at The Corporate Governance Institute.

Katie Burke is Chief Operating Officer at The Corporate Governance Institute where she leads the Product Development, Operations and Talent Development teams. Prior to this, Katie was a senior manager at the Centre for Effective Services where she played a lead role in scaling the organisation, building the team and developing partnerships. Katie also worked in strategy and management consulting in Ireland and France with financial services, healthcare, public sector and non-profit clients. Katie is an experienced NED / board member of national and international organisations and author of many guides on implementation, used in policy and services in Ireland and internationally.

Sharon Constançon is CEO of Genius Boards, board evaluation specialists. Sharon’s deep understanding of Board behaviours, leadership and regulated industries supports her delivery of truly deep, insightful and practical board evaluations. Sharon is a mentor and coach to Chairmen and Directors and champion of the Company Secretary. Sharon has an MBA, is a Chartered Director and a Chartered Secretary. She shares her professional journey as a lecturer for the Qualifying Level Boardroom Dynamics course for the Chartered Governance Institute UK & Ireland. Sharon is on the Court and is Chairman of the Membership Committee of the Worshipful Company of Chartered Secretaries and Administrators (WCCSA) and is a member of the International Committee of the Chartered Institute for Securities and Investment (CISI). She is a contributor to the Risk Coalition and course leader for programmes and seminars run by the Corporate Governance Institute in Ireland.

Rose Hindy is an Executive Career Transition Coach and a career consultant with Stanton Chase and has coached a substantial portfolio of senior executives across different sectors. Rose is known as an “Executive transition” coach as she has co-created an Executive career transition program enabling executives to transcend to the next level, both within their organisation and also in any new role. She also assists leaders find their seats in the boardroom and “sit” better there. Rose comes from a Media and Marcom background and aims at keeping it simple and real when coaching senior Executives in transition. Personal and career growth and climbing the ladder of success are the main targets, whatever success means to the client. Leaders find their goal setting with Rose simpler than anticipated and most importantly going through the transformational journey is as challenging as enjoyable. She focuses a lot on an agile co-active module which balances being and doing. Last but not least , she likes to celebrate each goal completion, priming clients to focus on the next goal. Rose is an athlete and a windsurfer and believes that the sync between body and mind is key to coaching success and achieving goals. Rose is a Bachelor holder of Computer Science (Honor Grad) from the Lebanese American University. She is a certified professional co-active coach since 2013, a Hogan assessor and coaches clients in English, Arabic and French.

Caroline McDonnell is an experienced independent non-executive director with extensive expertise gained on the boards of regulated entities. With previous experience of 13+ years as an equity partner in PwC, she is an expert in new areas of technology (analytics, robotics, new market disruptors) and its impact on the business world. She also has a keen interest in the culture of corporations and how that culture can be influenced. Caroline currently sits on the boards of AXA Insurance DAC, Scotiabank Ireland DAC, McGill and Partners and ECCU Assurance DAC. She chairs AXA and ECCU’s Audit Committees, Scotiabank’s Nomination and Remuneration Committee and ECCU’s Remuneration Committee. Caroline holds a BSc (Computer Science and Statistics) from University College, Dublin. She a Fellow of the Institute of Chartered Accountants in Ireland, a Certified Bank Director and holds a Diploma in Corporate Governance. She has also studied leadership at the Harvard Kennedy School.