Does your board risk personality match your expectations?
The Board Risk Preferences Assessment is a powerful tool designed to enhance boardroom effectiveness by analyzing individual and collective risk preferences using the Risk Type Compass® assessment. Participants receive a detailed report and a one-on-one consultation to interpret their results, fostering a dynamic and adaptive boardroom environment while mitigating hidden risks from conflicting perspectives or excessive conformity. This process ensures alignment with the organization's risk appetite and strategic objectives, driving better decision-making and collaboration.
In addition to individual insights, the assessment provides a full board report to evaluate the collective risk profile, ensuring alignment with organizational goals and risk preferences. By addressing gaps in risk attitudes, boards can avoid pitfalls like excessive caution or groupthink, fostering innovation and value creation. Meetings with board leadership and the full board, if desired, help to cement the learnings from the report further and develop a more conducive discussion among board members about how risk may be impacting your effectiveness.
Is Your Board Aligned on Risk?
We need to thoughtfully embrace risk-taking in pursuit of our goals. On that, we can all agree. The right mix of board members can stimulate innovation and creativity, which will ultimately cascade throughout the enterprise.
Hidden attitudes towards risk among board members can be a primary driver of that success or an impediment. Because the future is more difficult to predict than ever, we need to ensure that our members' attitudes towards risk foster a dynamic and adaptive boardroom.
What is your collective attitude towards risk-taking? Are you wary or prudent? Are you resolute or enterprising and bold? Do you have conflicting perspectives among members which may cause conflict and hamper your strategic discussions of risk-taking? And what profile best matches your organization's purpose and objectives?
We'll help you understand how your board's risk profile compares with your stated risk preferences and goals, whether your crucial board committees have risk profiles in alignment with the expectations of those committees, and where you might want some change.