The Mindset Shift Every New NED Must Make

That transition was the focus of a recent discussion hosted by Jane Dessar, Katie Thomas and Harriott Bridgen from our Consumer, Retail and Travel, Leisure & Hospitality Practice and Susanne Thorning-Lund from our Board, Chair & NED Practice.  

With panellists Ian Filby, Duncan Garrood, Aileen Richards and Wais Shaifta, the conversation drew on decades of board-level experience across listed and privately owned companies, private equity-backed businesses, as well as sports organisations and the not-for-profit sector.

Key takeaways:

• Moving from executive leadership to a non-executive role requires a shift in mindset, from driving executive decisions to challenging, influencing and contributing to collective board decisions. 
• Building a NED career is about deliberate choices, drawing on a broad executive career and strong professional networks. 
• Due diligence works both ways. Prospective NEDs should scrutinise a board as closely as the board scrutinises them. 

There is no single route to the boardroom 

The panellists' careers could hardly have followed more different paths. For Ian Filby, experience in smaller organisations provided valuable exposure to every aspect of a business and helped build the commercial perspective that would later prove valuable in board roles.

For Duncan Garrood, whose board experience spans more than 30 organisations and leading businesses in many overseas markets, the lesson was the importance of understanding what differentiates you. 

Aileen Richards, who spent 30 years at Mars in a variety of roles spanning procurement, manufacturing, logistics and people leadership, highlighted the value of breadth. Her non-executive career has expanded across sectors including food, sport, hospitality and the arts.

Wais Shaifta pointed to the benefits of combining executive and non-executive leadership. Exposure to different boards, governance models and leadership teams strengthened his contribution in executive positions and provided perspectives he would not otherwise have gained.

Despite their different journeys, the panel shared the common view that opportunities rarely arrive uninvited. Building a NED portfolio requires intent, curiosity and a willingness to put yourself forward.

The biggest adjustment is learning not to run the business

Executives are accustomed to solving problems, making decisions and driving action. NEDs need to contribute differently.

Aileen Richards described the transition as moving from problem-solving to problem-identification. 

For Duncan Garrood, the adjustment is equally personal. Effective NEDs learn when to stay silent, create space for others and focus on enabling better decisions rather than making them themselves.

Ian Filby framed it in terms of accountability. Executives focus on inputs. Boards focus on outcomes. Once a strategy has been agreed, the role of the board is to assess whether progress is being made and whether management is delivering against clear measures of success.

Understanding the business goes beyond the boardroom 

Duncan Garrood argued that much of a board's effectiveness comes from the relationships directors build across the organisation. Understanding different perspectives, talking to stakeholders and developing trust often provides a clearer picture than board papers alone. 

The same applies when joining a board. Several panellists emphasised the importance of thorough due diligence before accepting a role. As an example, Wais Shaifta encouraged prospective NEDs to examine the continuity of existing board members and leadership teams. Frequent turnover may warrant further questions. 

Others stressed the importance of informal referencing. While formal processes remain important, trusted conversations within professional networks can provide additional context of a board's dynamics, leadership quality and reputation. 

When asked how non-executives gain a genuine understanding of a business, the unanimous answer from the panel was to get out from behind the board pack. 

Ian Filby encouraged directors to spend as much time in the business as possible. Aileen Richards shared her experience of working shifts in Pret stores to better understand the realities facing frontline teams and customers. That insight, she said, cannot be replicated through management reports alone. 

For Wais Shaifta, a robust induction process is equally important. Meeting people across the organisation, understanding how the business operates and learning its culture provide the foundations for effective governance. 

The board skills agenda is changing

The panel identified technology, digital transformation, AI and an understanding of the Gen Z consumer among the capabilities that occupy boards. 

But the boardroom is not about technical expertise. Panellists highlighted agility as a defining boardroom skill. Previous experience remains important, but the panel emphasised the ability to apply that experience when circumstances are unfamiliar. 

Consumer businesses face an additional challenge. As Wais Shaifta noted, changing consumers behaviour is forcing organisations to rethink engagement, loyalty and growth strategies. Boards need directors who understand those shifts and can help management respond.

International expansion, franchising and experience of scaling businesses were also cited as areas where many boards continue to seek additional expertise.

A NED role is a commitment, not a side project

Panellists spoke about need for NEDs to have capacity to flex their time. M&A activity, operational crises, governance issues and leadership transitions can quickly increase a director's workload.  

This is the flip-side of the “reputational coin”. Whilst prospective NEDs will network to get more insight, as part of their due diligence, boards will also use their network for informal referencing on prospective NEDs. Directors are visible public representatives of the organisations they serve and should consider carefully how one appointment may affect another.

Before accepting a board role, understand the commitment, understand the risks, understand the business and don’t underestimate the pre-read workload.

The value works both ways

A NED appointment can benefit an executive’s current employer. Exposure to different sectors, business models and governance environments can broaden perspective and strengthen executive contribution. 

The experience gained around another board table often strengthens executive performance rather than distracting from it. That broader perspective may be one of the strongest arguments for pursuing a NED role. 

The discussion highlighted that board careers are built on far more than governance knowledge. They demand judgement, curiosity, resilience and an ability to influence without controlling. For those willing to make that shift, the rewards can be significant, both for the organisations they serve and for their own development as leaders.

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Odgers provides integrated executive search and leadership advisory services. We are deeply rooted in our local markets, which we combine with global perspective and reach to help organisations build transformational, world-class leadership teams.  

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