WHAT IS A STRATEGIC ADVISORY BOARD AND HOW CAN IT HELP SHAPE INNOVATION AND BUSINESS STRATEGY?

As startups and corporations alike look to amplify growth, gain competitive edge and boost leadership capability, assembling a group of trusted external advisors through a strategic advisory board proves a vital asset. But what exactly constitutes an effective advisory board?

By definition, a strategic advisory board consists of anywhere from 5 to 15 accomplished individuals from diverse backgrounds who possess specialized expertise not well represented internally. These could range from former executives with deep operational or industry experience to academics pioneering relevant research and development.

Unlike a company’s board of directors focused squarely on fiduciary governance, or casual one-off consultants engaged for specific projects, a dedicated advisory board serves in an ongoing collaborative capacity. They tackle complex, often ambiguous challenges strategic in nature – technology disruption planning, leadership succession, cyber risk framework creation – areas requiring judgment calls weighing multiple factors.

Typically, advisory boards convene either physically or virtually on a quarterly basis. Through open-ended yet agenda-driven discussions, they offer broad guidance and serve as a sounding board for executives on crucial decisions, all within the context of fully understanding a company’s capabilities and culture after longer-term engagement.

Members devote time between meetings to deeper exploration around assigned strategic topics detrimentally complex for company leaders alone to unpack amidst their day-to-day leadership workload. External advisors inject fresh, cross-disciplinary perspectives while providing confidential peer mentorship.

Within groups like innovation advisory boards, members often get hands-on evaluating risks and opportunities surrounding new technologies or product initiatives through prototypes. Specialist member skills here should align to current R&D horizons and desired areas for experimentation. For global growth advisory boards, regional expertise proves essential.

Effectively leveraged, a strategic advisory board pays immense dividends unlocking sustained performance breakthroughs thanks to an infusion of world-class expertise from members sincerely engaged as trusted partners in a company’s aspirational purpose.