• Culture of Inclusion
    Issue: 2019 Third Quarter
    By Beth Braverman
    Diversity and inclusion have been business buzzwords for decades, but in recent years a growing number of companies have realized that creating a diverse and inclusive culture is not only good public relations, it’s good for the bottom line.A strong body of research shows that truly diverse and incl...
  • Solving the Board-Diversity Imperative
    Issue: 2019 Third Quarter
    By Kathy Higgins Victor
    One of the common barriers when it comes to getting more diverse voices in the boardroom is not seeing beyond your own networks.Case in point. In an effort to diversify the board of a Fortune 500 company, a board member recommended his neighbor who was professor emeritus of information technology at...
  • 5 Types of Diversity Often Overlooked
    Don’t just focus on filling quotasSome lawmakers, regulators and shareholders are actively encouraging boards to recruit diverse candidates by setting quotas for diverse hires; and California’s recently passed law mandating gender diversity is just the most recent example. But are such moves re...
  • Director Data Q3 2019
    By Directors and Boards
    Disclosure of Auditor Fees is on the RiseMost companies provide an explanation for the types of services included within each fee category, according to a report by EY’s Center for Board Matters. Reviewed companies explained the circumstances for the change. Nearly 90% of companies disclosed that th...
  • THE PURPOSE DEBATE Western Union’s First ESG Report
    Issue: 2019 Third Quarter
    By Eve Tahmincioglu
    CEO Hikmet Ersek rides the “purpose” train, supported by the board.At Western Union, we believe we can be more successful as a company when we operate according to the highest ethical standards, address unmet social needs and promote the well-being of our consumers, their communities and the environ...
  • THE PURPOSE DEBATE Former Vanguard CEO Weighs in on ‘Purpose’ & ESG
    Issue: 2019 Third Quarter
    By Bill McNabb
    Bill McNabb says a focus on the greater good leads to long-term value.Bill McNabb, the former CEO and chairman of investment behemoth Vanguard Group, believes many people aren’t seeing the ultimate value of a growing movement for corporations to have a social-purpose focus.“Many pundits and critics ...
  • THE PURPOSE DEBATE Introduction
    Issue: 2019 Third Quarter
    By Robert Rock
     Back to the ‘80s: Business Roundtable’s “Purpose” Statement ReduxThe group’s 1981 statement called for corporations to be “a positive force in society.” What’s different this time?By Kristin Bresnahan Three Problems With the Stakeholder TheoryBusiness Roundtable’s misguided decision to pu...
  • THE PURPOSE DEBATE Social Good Uprooted
    Issue: 2019 Third Quarter
    By David Ciepley
    How America’s corporations lost their public purpose.These may be flush times for the American corporation, but the bounty is not being translated into a prosperity that is sustainable or broad. How has the corporation’s vision become so foreshortened? Its largess so narrowly bestowed? Its malfeasan...
  • THE PURPOSE DEBATE Back to the ‘80s: Business Roundtable’s “Purpose” Statement Redux
    Issue: 2019 Third Quarter
    By Kristin Bresnahan
    The group’s 1981 statement called for corporations to be “a positive force in society.” What’s different this time? By Kristin BresnahanThe Business Roundtable issues this statement out of a strong conviction that the future of this nation depends upon the existence of strong and responsiv...
  • THE PURPOSE DEBATE Three Problems With the Stakeholder Theory
    Issue: 2019 Third Quarter
    By Charles Elson
    Business Roundtable’s misguided decision to put shareholders last. An unpleasant déjà vu.By Charles M. ElsonThere is nothing really new about the Business Roundtable’s Statement on the “Purpose of the Corporation.”  It is simply the return of the groups historic and misguided support for stakeh...
  • Is Your Board Compliant or Complacent?
    Facebook fine and recent court ruling highlight need for board oversightAfter a year-long investigation into Facebook’s privacy missteps, the Federal Trade Commission levied an unprecedented $5 billion fine against the tech giant. In addition to this fine (which equates to about 59 days of operating...
  • What a Stakeholder Approach Means for Executive Compensation
    By Mark Emanuel and Seymour Burchman
    The Business Roundtable’s declaration should lead to new comp committee goalsWhat does it mean for boards and compensation committees that 181 CEOs from the Business Roundtable amended a long-standing statement of corporate purpose last month? The CEOs declared that the purpose of companies is to se...
  • JetBlue Chairman's Trust Tips
    How Directors Can Build Organizational TrustTrust is a leader’s most important currency. It is also foundational to the value of a brand. At its core, a great brand is a reliable promise — one people can trust to deliver results whether a service, a product or an experience.Trusted brands extend not...
  • Making Sense of SEC’s Proposed Human Capital Disclosures
    When it comes to the environmental, social and governance movement, Securities & Exchange Commission Chairman Jay Clayton acknowledges the growing drumbeat for ESG reporting standards. But he cautioned against lumping all things ESG together because it could muddy the disclosure waters for inves...
  • Former Defense Secretary Mattis Rejoins General Dynamics Board
    James N. Mattis, the 26th United States Secretary of Defense who resigned last year, has been reappointed director for one of the biggest defense contractors in the world, General Dynamics.Mattis, 68, is currently the Davies Family Distinguished Fellow at the Hoover Institution at Stanford Universit...
  • Compensation Committees & ESG
    Issue: 2019 Annual Report
    By Don Delves and Ryan Resch
    Human capital management and oversight should be a bigger part of the agenda.Environmental, social and governance (ESG) issues are increasingly important to boards and their compensation committees, especially human capital management, as a critical part of the “S” in ESG.Comp committees realize it ...
  • My Board Journey: DEBORA PLUNKETT, Director, Nationwide, J.C. Penney, CACI International, Raytheon Integrated Defense Systems.
    Issue: 2019 Annual Report
    By Eve Tahmincioglu
    What was the process that led you to Nationwide’s boardroom? I was contacted by a senior leader at the company, who asked if I would be interested in interviewing for an anticipated opening. This has been a common path for me — someone refers me or calls because they are familiar with my work in gov...
  • Survival Guide: How Kurt Landgraf prepares for board meetings.
    Issue: 2019 Annual Report
    By Maureen Milford
    As president of Washington College in Chestertown, Maryland, Kurt Landgraf has a packed calendar. Yet, Landgraf happily makes time to serve on the boards of two major U.S. corporations. “I think it’s fascinating, especially if they’re corporations you really like,” he says about Corning Inc., a...
  • TOP OF MIND: What directors are thinking (Janet S. Wong, Enviva Partners, BigControls)
    Issue: 2019 Annual Report
    By Directors and Boards
    The focus on the value of more diversity on corporate boards has specifically emphasized women, but not all women.Numerous resources have been developed to help companies identify qualified women candidates for board seats, and as a result, gender representation is slowly increasing. Today, women re...
  • Long-Term Bias and Overconfident CEOs
    What directors should know about keeping the top dog's cockiness in checkAccording to myriad commentators, the culprit responsible for an array of problems in today’s capital markets is “short-termism”—the idea that companies and boards are increasingly sacrificing long-term value creation in exchan...