This article is part of an ongoing series on building high-performing boards in the Middle East. Each installment explores a critical dimension of board effectiveness—from composition to culture. Designed for board Chairs and directors, these insights draw on Egon Zehnder’s experience in advising boards during transitional moments.
A Chair’s leadership is not only pivotal in steering the board's strategic direction but also in helping to ensure that the board's composition is tailored to meet the unique needs of the company. Who sits around the table, the perspectives they bring, what is being discussed in the board room, and how they work together all impact the board’s effectiveness.
Why Board Composition Matters More Now
Boards today are balancing a bigger mix of demands—and stakeholders. That balance is impossible without a thoughtful approach to board composition. Some of the key considerations in board composition are:
- Industry experience: There is a growing need for board members with relevant experience. According to an Egon Zehnder survey, in 2024, 24% of new board members did not have CEO or CFO backgrounds. Industry experience gaps in the UAE and Saudi Arabia can be filled by recruiting members from these sectors or bringing in external experts.
- Constructive challenge: As complexity grows, so does the risk for groupthink. Forward-thinking Chairs don’t just seek to manage conflict on the board—they create productive friction. As one board member shared, “Friction is not a bad thing—diversity isn’t always more comfortable, but it does drive better business outcomes.”
- Sound judgment: Board members must be able to make sound decisions on a range of topics, which extend beyond just their areas of expertise. They must be prepared to participate actively and knowledgeably in discussions.
- Diversity: Ensuring a diverse mix of perspectives is crucial for effective boards but comes with challenges. Diverse boards enhance representation and decision-making. Our 2024-2025 Global Board Diversity Tracker shows that 89% of boards in the UAE and 41% in Saudi Arabia had at least one woman, up from 83% and 30% in 2022.
Reflecting on Your Role: 5 Questions to Ask
Ensuring the effectiveness of the board requires continuous reflection and evaluation. As a Chair, it is crucial to regularly assess your approach and the board's dynamics.
1. Am I leveraging the wisdom of the full board?
The Chair's role begins with establishing a culture of psychological safety, setting a tone that encourages active participation and thoughtful deliberation – you job is to make the boardroom a safe but not a soft place. Your ability to facilitate discussions and ensure every member contributes is vital. Am I speaking last or speaking first? What are the silent voices, who are the strongest voices that I am balancing? What am I missing?
2. Are we flying at the right altitude?
Maintaining a strategic focus is another crucial factor, and the Chair should ensure that the board remains attentive to overarching strategic goals rather than being distracted by operational minutiae. Clear priorities and regular reviews of the strategic plan are essential to keep the board aligned with the company's long-term objectives. Am I managing the discussions at the right altitude? Did we consider different perspectives thoroughly? Have we kept the debate on the issue and not the person?
3. Is there enough disruption/friction?
With increased complexity the demands on the board are shifting continuously. Identifying skill gaps and recruiting new members is a continuous process that falls under your purview. What is hindering our progress? Who brings disruptive thinking? Are we missing any critical perspectives as a group?
4. Are the independent directors clear on their role?
Regular evaluations of the board's performance and independence, including the Chair and the individual members, help in pinpointing areas for improvement. As Chair, you must oversee these evaluations to ensure that the board operates with utmost efficiency and effectiveness. Am I unlocking my potential as a Chair by getting feedback? Did I have a candid discussion with a director? How can I get them to perform at the peak? How regularly am I assessing directors' energy and contribution levels? Did I connect with each Board member in advance to ensure readiness for discussion?
5. Is this board greater than the sum of the parts?
Creating an inclusive board culture is indispensable, and your responsibility extends to identifying and making the difficult choice of exiting board members. This requires planning. Are my directors filling the full seat? Are they bringing diversity of backgrounds and skills?
How We Can Help
At Egon Zehnder, we work with Chairs and CEOs globally to build high-performing boards that are ready for what’s next. Our services include:
- Board Advisory: Providing strategic advice on board assessments and governance.
- Board Search: Identifying and recruiting qualified Board members with diverse backgrounds and functional expertise. We offer expert advice on recruiting new Board members from specific industries, bringing in external experts, and providing tailored training programs.
- Board Development Programs: We have a range of programs for boards, from board Chair retreats, to committee Chair training to topically specific programs, such as sustainability and consumer boards.
What has worked well on your board in terms of diversity and inclusion? We invite you to join the conversation on board composition and share your thoughts on what makes a high-performing board. You can share your thoughts by emailing me at Imran.Saleem@egonzehnder.com or reach out to Patrick Nader at Patrick.Nader@egonzehnder.com.
