Previous Page Next Page 
(c)  2025 Columbia University Press. All Rights reserved.

The CEO's Boss: Tough Love in the Boardroom resources

Extracted Text (may have errors)

T H E S O C I A L C O N T R AC T 13 are similar to their own. Once everyone has read aloud, the next step is to reach a consensus on common priority areas and defi ning behaviors. To facilitate this pro cess, I defi ne a “consensus” as a selection from a list of mutually acceptable alternatives and suggest that the group combine items from individual statements and refi ne them as necessary, leaving out items that anyone strongly objects to. In the end, there will be a list of statements to choose from that everyone can support. With this list in front of them, I ask board members to choose their top three. Aft er recording their indi- vidual preferences, it usually becomes clear that a select number of items receives a clear majority of support. Again, there can be some further re- fi ning and combing, but, following Miller’s law, I try to hold the board to 7 ± 2. Th e board/CEO will then commit to these as a statement of their Social Contract. Finally, I ask the board to post the Social Contract in the boardroom and on each member’s board agenda so it can be referred to as the behav- ioral guide in their work together. My follow- on recommendation to the boards/CEO’s I work with is that they revisit this document as needed, and at least at every scheduled retreat. I suggest, for these continued discus- sions of the Social Contract, that they use a facilitator who is trusted by the group. Th is can be either an outside con sul tant, as in my case, or an inter- nal con sul tant knowledgeable about group dynamics and decision making and is viewed as an objective and trusted advisor. Th e fundamental idea behind the Social Contract is that a board/CEO partnership cannot be sustained by good intentions alone. Th ere must be an explicit statement of the beliefs and behaviors that are essential for the general will of the or ga ni za tion. With the creation of the Social Contract, a foundation is in place for a successful and productive partnership be- tween the CEO and the board.

Help

loading