Governance in the Era of Uncertainty
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Future Directors Founder, Paul Smith
ONE THING is for the busy (speak of the devil) Future Director, in which we pick just one thing Future Directors oughta know or do or stew on for the next month. We hope you get something (at least one thing) out of it.
What happens when corporate (organisational) governance meets volatility, uncertainty, complexity, and ambiguity (known as VUCA)..?
A typical week of a board member's life.
As 2025 approaches, the shifts shaping boardrooms worldwide are no longer subtly playing in the background; they're gaining momentum and reshaping how we think about boards, and their role in governance. The choices we make now will echo far beyond our organisations, influencing the broader world we all share.
This month, Future Directors ended our year of building our education and technology platforms with a brand new live event format: The Future Board Forum. This month’s One Thing is my summary of the discussion with our guest contributors (and fellow governance geeks), Erin Essenmacher, Lisa Coletta, and Matt Fullbrook.
The full recording of the Future Board Forum can be found in the Future Directors Hub Members Lounge Video Library.
Looking Back at 2024: Key Observations
Before we talk 2025, let’s quickly reflect on the key observations from 2024 that shaped the Forum’s discussions:
The acceleration of AI adoption – Some boards began moving from scepticism to practical applications. Yet, the gap between those experimenting with this exponential technology and those still in denial widened.
Evolving stakeholder expectations – Boards are grappling with the demands of a more vocal, dissenting, values-driven and broader set of stakeholders who want, no, expect, meaningful engagement.
The emotional intelligence gap – Directors are now recognising that the ability to navigate interpersonal dynamics and boardroom politics is just as critical as financial nous or strategic insight.
Governance under pressure – As geopolitical instability and economic uncertainty increase, boards face mounting pressure to adapt and respond quickly while balancing long-term strategy.
The ESG tipping point – Environmental and social issues are still front and centre for many boards, but execution lagged behind rhetoric. Accountability was a recurring challenge.
Boardrooms exposed - Finally, we are seeing more of the inner workings of boards become front-page news, and unfortunately, not for the right reasons. Myths are being busted, but some commentators are ignoring the complexities and nuances for clickbait.
Each of these trends underscored one inescapable reality: boards must be adaptable to internal and external pressures.
This brings us to 2025 when those challenges intensify, and new opportunities arise…
2025: The Year of Relentless Uncertainty?
The Rise of Generative AI in Governance: Yes, I know. You’re perhaps tired of hearing about AI. But here’s the thing: it’s not going anywhere. Generative AI isn’t
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