Traditionally, Boards of Directors wield immense power, overseeing trillions of dollars in capital allocation—enough to shape industries and influence society at large. In the latest episode of the Conscious Capitalists Podcast, Timothy Henry and Raj Sisodia speak with Roosevelt Giles, Chairman of the Stakeholder Impact Foundation, about how boards can drive purpose-driven growth while ensuring their businesses remain relevant and resilient.
Drawing on his own journey from a sharecropper’s son to a global leader, Giles underscores the transformative potential of bold leadership, diversity, and governance in fostering long-term value.
Here are some ways boards can move to the future inspired by the conversation:
1. Redefine Duty to Focus on Long-Term Stewardship
Many boards operate with a narrow view, prioritizing shareholder returns above all else. Giles urges boards to embrace stewardship, managing the company for long-term success and sustainability.
- Tip: Align decision-making with the company’s broader purpose, focusing on stakeholders like employees, suppliers, and the community. A thriving stakeholder ecosystem ultimately drives enduring shareholder value.
2. Diversify the Board to Address Modern Risks
Today’s boards need more than just traditional CEO and CFO expertise. To manage emerging challenges—like cybersecurity, AI integration, and changing customer demographics—boards must include members with diverse perspectives and specialized knowledge.
- Tip: Evaluate your board’s current skill gaps. Consider adding members with technology expertise, young voices, or non-fiduciary fellows to bring fresh ideas and skills to the table
3. Prioritize Stakeholder Engagement
Giles emphasizes that a company’s success hinges on how well it takes care of those who drive its growth: employees, suppliers, and customers. Ignoring these stakeholders is not just unethical—it’s bad business.
- Tip: Foster open communication with employees and communities. Implement programs to understand their needs, such as mental health initiatives, financial wellness support, and ongoing professional development.
4. Embrace Continuing Education
Giles challenges the notion that board members don’t need ongoing learning. In a rapidly changing world, outdated knowledge can lead to poor decisions.
- Tip: Encourage all board members to participate in training programs or seminars on emerging governance trends, technology, and stakeholder management.
5. Build a Culture of Innovation
The value of companies today often lies in intangible assets like intellectual property and brand reputation. Giles highlights the correlation between a culture of innovation and long-term success.
- Tip: Regularly review your company’s innovation pipeline. Encourage management to invest in R&D and create an environment where employees feel empowered to think creatively.
Lessons from the Stakeholder Impact Foundation
As the Chairman of the Stakeholder Impact Foundation, Giles has pioneered efforts to prepare the next generation of board leaders through a rigorous, tuition-free fellowship program. Here’s how this initiative is making an impact:
- A Real-World Curriculum: The 4.5-month program immerses fellows in case studies, governance strategies, and insights from Fortune 500 executives, regulators, and academics.
- Hands-On Experience: Each fellow is paired with a publicly traded company and tasked with solving real-world governance challenges, such as shareholder activism or strategic risk management.
- Pioneering Board Fellowships: Giles advocates for non-fiduciary board seats, which allow emerging leaders to gain invaluable experience while addressing the skill gaps on traditional boards.
These programs are designed to ensure boards are equipped to handle today’s complexities, from cybersecurity to stakeholder engagement, while fostering a culture of innovation and accountability.
The time to act is now
Businesses that prioritize inclusive, forward-thinking leadership will not only stay competitive but will also help redefine capitalism for a better, more equitable future. As Giles reminds us, the path forward requires courage, bold decisions, and a commitment to making a lasting impact. For boards willing to rise to the challenge, the rewards—both financial and societal—are boundless.
Don’t Miss the Episode
For a deep dive into these transformative ideas, listen to this week’s episode of the Conscious Capitalists Podcast featuring Roosevelt Giles. Gain invaluable insights, hear unforgettable stories, and discover why the time to act is now.