The Tech-Governance Dilemma: Friend or Foe?

Mapping the landscape 

• In the past million years, all our advances have been around the use of tools (fire, industrial revolution and now technology). What’s staggering is that the advances are getting quicker and becoming more impactful.
• There has been an explosion in data and computer power which is changing the way we conduct business and run boards.
• For many board members, technology can be a complex subject.
• How can we use technology more effectively? The biggest impediment to using technology effectively is ignoring the people and processes behind it.
• There are real opportunities for processes by using technology.

Using specific technologies

• On the people side, there are many useful technologies to use as a director including ChatGPT for consulting on issues, mind mapping tools such as iThoughts.
• The number of new tools made available is staggering. 
• Spend time considering whether you’re making effective use of the video conferencing tools you’re already using (e.g. Zoom, Teams). Around 55% of communication is nonverbal, so on virtual calls are board members positioned at eye level with the camera? Is the background well-lit? Have you got good audio?
• It’s important to get these basics right.
• Collaboration technology is key for board members whether you’re meeting at the same time or collaborating about a topic at different times. Text-based collaboration tools such as one called: XLeap, and Stormboard are very effective, and visual tools such as Miro also work very well.
• Decision-making technology tools are now starting to carry out a sentiment analysis of speakers during meetings: 
  • Fathom uses an artificial analysis to summarise key questions.
  • IBM Watson tracks speech to identify how a person’s emotions are changing during a meeting.

Next steps

• Many experts in AI say checks and balances are missing in the growth of AI so it’s important to be aware of this when using it.
• It’s essential to consider what advances in AI mean to the boardroom. How will it affect the board and the organisation.
• As board members you need to challenge whether you have a plan. Are you keeping up with competitors? Are you equipped to deal with this technology?
• As board members ask yourself, are you of a growth mindset?
• As a board, if you don’t have a curious mind about AI you’ll be left behind so it’s essential to experiment with it.
• Question how mature your information governance is? Tools such as Lucia AI can help you write a better board paper.
• Look at predictive analytics. From the data you’ve gathered, use AI tools to understand it better.
• Experiment with using sentiment analysis and predictive analytics to optimise the customer experience.
• If your board doesn’t experiment constantly with these, your competitors will.
• Warning: Be careful with GDPR and be risk aware of the trustworthiness of the AI you’re using.

• The dangers presented by recent technological advancements.
• The key technologies that are shaping the success of current boards, and
• the practical steps all boards can take to make technology an essential part of their organisations future prosperity and success

Bob is a Chartered Director, Chartered Accountant and experienced Director, with over 45 years’ business experience. A former PwC partner, he now works as an independent consultant specialising in board effectiveness reviews and risk management. He is a member of the Governance Advisory Council of the Corporate Governance Institute.