Digital board know-how in FTSE listed consumer goods organisations

70 per cent of FTSE 350 board members do not consider themselves to have digital expertise, highlighting a major blind spot for corporates as digital know-how becomes increasingly essential.

New research by Dr Sabine Dembkowski, founder and managing director of Better Boards and Kate Latham, partner at The Inzito Partnership, has found that consumer businesses may be under-prepared for digital change. 

The team asked 57 FTSE 350 consumer organisations two questions:

1. Has board composition changed in response to the strategic opportunities and risks that arise from technological innovation?

2. Do those board members with digital/technological experience and know-how have characteristics that differ from the other members?

The research found that just 30 per cent of these firms have at least one board member with explicitly stated digital experience. 

Those digital experts tend to be more than ten years younger than the average age of all FTSE board members, suggesting a generational shift in corporate priorities.

Furthermore, despite the UK’s reputation as an innovation hub, around 75 per cent of those board members who have digital expertise got the majority of their experience in an American organisation. 

“Digital is the know-how area that is flagged in every board review, but before boards rush to get anyone with digital experience they should carefully assess what other characteristics this person should bring to the table to best complement the existing team,” said Dr Sabine Dembkowski, founder and managing director of Better Boards.

“Board composition is a hallmark of effective boards, and digital know-how and expertise is certainly one of the key areas that boards need to bring to the table. However, candidates need to also fit in and complement the existing team in terms of other criteria and their behaviours. A sound assessment of what these criteria are should be at the start of any search process.”

Kate Latham, a partner at The Inzito Partnership, said: “The debate has moved on from 'do we need a digital non-executive director (NED) on our board?' to an acknowledgement that boards need fully rounded business NEDs who are digitally competent and understand/have experience of business transformation. 

"In fact, it is now incumbent on all NEDs to ensure they are curious, attuned and informed about both the risks and opportunities that technology poses for their consumer organisations."

Notes for Editors 

• For more information, interview requests and photos, contact Sabine Dembkowski on 07760 590405 or sabine.dembkowski@better-boards.com

• To learn more about Better Boards, visit: https://better-boards.com/en

• For more information about The Inzito Partnership, visit: www.inzito.com


About Better Boards Limited

Better Boards in London is an independent consultancy specialised in developing executive and governing Boards and Executives that work with boards and aspire to a board position. Better Boards is credited with having identified the ‘Seven Hallmarks of Effective Boards’ and having developed an innovative online audit tool. The seven hallmarks have been peer-reviewed and published in the US, the UK and across Europe. Leading investors, listed organisations and growth companies have worked with Better Boards, applied the principles of their research and achieved tangible results. As a result, Dr. Sabine Dembkowski and her team are trusted and valued partners for Chairs, CEOs, Executive and Non-Executive Directors and investors who have a genuine interest in bringing the highest level of governance to life.


Press Contacts