How Corporate Secretaries Drive Innovation in the Boardroom

In recent years, boards and companies have faced an increasing urgency to accelerate their digital journey. Business leaders are expected to make critical investments in digital tools and automation to improve operations and manage disruption. 

In the 2020 EY-Pathernon Digital Investment Index, nearly two-thirds of executives surveyed agree that companies should radically transform their operations over the next two years. Among the new technologies organizations have invested in the past two years are the Internet of Things (IoT), AI and natural language processing, cloud computing, and robotic process automation. 

Often considered a strategic imperative, digital transformation can unlock competitive advantage and new revenue. However, many board directors find it difficult to achieve these due to technology’s speed of change and complexity. This is where corporate secretaries come in. 

Find out why in the next sections. 

The Role of Corporate Secretaries in Implementing Digital Innovation

Implementing digital innovation includes taking and assessing risks, and it is the job of corporate secretaries to highlight this. Unilever Nigeria Plc’s General Counsel West Africa and Company Secretary Abidemi Ademola, together with other governance experts, explored this in a recent webinar by Convene and the Corporate Secretaries International Association (CSIA), Innovation: Pioneering a New Age of Governance. 

Abidemi shared, “What is important is that you properly assess the risk involved in implementing digital innovation in the boardroom and put mitigation actions in place. Keep your eyes on the horizon and continue to carry out mitigations that will help you reap the benefits of what you’re trying to do.” 

The changing tech environment has indeed impacted the work efforts required of corporate secretaries. They need to keep up with the changes and support the implementation across the board.

The Relationship Between Governance and Business Innovation

Governance is critical in every aspect of an organization. The right governance is essential in implementing innovation and ensuring its success. As to make this happen, organizations require the right structure, a good project team, and a steering committee of the board to roll out successful innovation while maintaining governance. 

This also prompts the discussion about the importance of change for businesses. Staying the same constant will not do the business any good, and instead, should find new ways to do things in a competitive environment. 

Corporate Governance Consultant Loren Wulfsohn, who is also a speaker in the webinar, advises organizations to “Ask people to innovate, create a scalable environment, and set up the governance structures critical for innovation in today’s world.”

Morgan Lewis Stamford LCC’s Managing Director Yap Wai Ming also reminds organizations to take into account all the factors that come with business innovation, “I think one of the factors that you need to consider when implementing innovations is that some technological solutions will be very expensive.” 

Despite the issue with cost, investing in technological solutions can help future-proof businesses given the volatile landscape are in today. In short, businesses can readily navigate unpredictability with technology. 

It is not about the non-availability of innovation, but it is about the acceptability of the board members to these changes that are available to them, Wai Ming added. Given such challenges, the corporate sector team must maintain its focus on driving and implementing innovation. Change the mindset, highlight the benefits, and focus on engaging with the instruments available for innovation.

Corporate Secretaries in Driving Innovation in the Boardroom

Corporate secretaries play a major role in creating an environment for innovation. However, it is worth noting that to create an organization that drives innovation, one must look into board composition. As Loren recommends, “You have to create a board that is focused on innovation, with the level of innovation required depending on the industry.”

A board should have the right competence and skills to innovate. For instance, a board needs a critical thinker who can ask the right questions or an IT person who can understand and implement technology within business operations. Put the right people on board, specifically from different backgrounds too, and achieve a competent board composition. 

Corporate secretaries can guide in this area, particularly in ensuring there’s a diversity of thought on the board. They can help create a skills matrix that encompasses the skills set needed for the board. Most importantly, corporate secretaries need to encourage management to position their board papers in a way that enables more discussion — a natural way to get innovation. 

The company secretary should be able to drive the dialogue about board innovation and pump up those discussions. An organization needs to have the right culture that welcomes open dialogue and new ideas. Building a culture that continuously does things better and creates a positive environment for innovation. 

Corporate Secretaries: The Prime People to Champion Boardroom Technologies

Corporate secretaries need to be smarter about the current technologies in place, as well as the new ones on the horizon. Managing Director of ITRite Solutions Dr. Paradza Paradza raised that corporate secretaries should have technological expertise and that they should be educators around using technology and active in assisting board members in utilizing whatever tools or portals presented.

In addition, Azeus Convene’s Global Digital Marketing Manager Kimberly Dotado-Kornachuk explained what needs to be done during the implementation of technology,

“When the appropriate technology tools are identified for implementation, proper chain mechanisms should be put in place to get board members up to speed. They should be continuously monitored so that they can further advise their boards of the likely impacts and help formulate good governance practice in the house.”

As Kimberly also mentioned, corporate secretaries can play a role to champion technologies in the boardroom. They can help improve the collaboration, workflows, and processes involved in the board. Thus, ultimately, achieving better decision-making and good governance. 

Given their responsibility to champion innovation and governance for their boards, corporate secretaries should always be aware and updated with the new technologies in the market. At the same time, they should be able to conduct their own evaluations as to what are the best tools to recommend. 

Being powered with the latest technology helps corporate secretaries fulfill their responsibility in the boardroom and streamline board-related processes. In a nutshell, Kimberly gave three features that secretaries should look out for:

• Board communication or secure messaging tool — To ensure all confidential discussions and documentation remains private
• Board meeting minutes feature — To legally mandate the responsibility to provide accurate meeting minutes to the board 
• Board management software — To easily manage agendas, documents, annotations, and meeting discussions

Convene: The Go-To Tool of Corporate Secretaries for Board-Related Tasks

Convene is a board management software that combines everything that corporate secretaries need to fulfill their duties to the board. The software proudly offers easy agenda preparation and workflow, live minutes taking and notes, annotation capabilities, and interactive video conferencing tools. Learn more about how Convene can help corporate secretaries and boards achieve innovation.

Want to discover more about boardroom innovation? Access the full webinar video now and get insights straight from the experts!