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Board members can become disengaged even despite their best intentions. This is usually due to poor group dynamics like rivalries, dominance of a few directors, and poor communication which hinders the board from engaging in the collective decision-making process essential for effective decision-making.

The board could not be able to establish appropriate internal structures that facilitate carrying the responsibilities of assessing performance. It is typical to establish officers or committees which are charged with gathering and analyzing results from evaluations before present them to the board for consideration. It is highly unlikely that the board will be able to effectively supervise these aspects if they’re left to the CEO and the management team.

The board is more likely to miss the overall performance of its board if it doesn’t incorporate the behavioural aspects when evaluating the director’s contributions and effectiveness. This results in a perfunctory process designed to satisfy listing requirements, or to give lip service to good governance.

There are plenty of ways boards can enhance their performance and ensure that they’re meeting their fiduciary obligations. The first step is to focus on the level of human interaction in the boardroom. This can be achieved if the board is flexible and resilient, as well, and strategically. It is equally important to have the appropriate mix of experience and expertise, including gender diversity. This allows the board a broad range of perspectives and can more effectively address crucial issues. This allows the board to create an environment of collaboration that encourages open communication and different perspectives.