Report of the NACD Blue Ribbon Commission on Strategy Development
This report emphasizes that corporate directors should not limit their engagement in strategy development to annual discussions with management or crisis situations. It recommends that directors recognize that board engagement on strategy is a continual process, and issues related to strategy should be the central focus of board activity year-round.
The Report of the NACD Blue Ribbon Commission on Strategy Development discusses why boards should reassess how they approach their role in strategy, and provides a framework for earlier board engagement in the company’s strategy formulation, and tips for changing the rhythm of the board’s dialogue with management on strategy. Additionally, the report addresses what is needed from the board to support continual oversight of strategy development, execution, course correction, and related information and control systems.
The report offers 10 recommendations for directors to consider as they recalibrate the traditional dialogue on strategy between the board and management, and deepen their engagement in the strategy process. It also details the potential barriers to changing the dialogue on strategy.