Boards are the foremost leadership resource in any organisation. Therefore, lack of rigour around board architecture and poor monitoring of board behaviour is unacceptable in the public domain.

Leaders Unlimited has developed Board Barometer™, a unique methodology that profiles the makeup and behaviour of boards, and allows shareholders to constructively, proactively and objectively improve their quality and the effectiveness.

In order to validate the rigour of Board Barometer™, we conducted tests to establish whether an ALSI 40 index weighted by Board Barometer™ scores instead of market capitalisation, would outperform the original index. The results were astounding! The Board Barometer™ - linked index outperformed the ALSI 40 over one, three, five and seven years – through good times and bad.

These results suggest a reversal of the conventional risk/return rule when it comes to board composition and quality. Well-constructed, lower-risk boards seem to deliver sustainably higher returns for their stakeholders.

Our Board Advisory service helps boards to rate themselves against their peers and to transform based on a proven methodology to improve their effectiveness.