New Directions: mastering consultancy and NED roles in later life
Midlife may come with its own unique challenges – my impetus to hit the gym every day has sadly faded, for example – but your career needn’t be one of them. Because if you’re good at what you do and have the track record to prove it, then the worlds of consultancy and Non-Executive Director (NED) roles are worth investigating. I’ve been a NED and a consultant to many companies and this blend of hands-on involvement with a strategic, external perspective provided a unique vantage point that enriched both my personal growth and the organisations I served. Navigating these paths requires a nuanced balance, and I’ve learned a few things along the way that might be helpful for others considering this direction.
The power of perspective
One of the most valuable aspects of NED roles is the broader, more holistic view they offer. As an external advisor, you’re forced to step back and assess situations from a different angle. This shift not only benefits the companies you advise but also brings fresh insights into your primary role. It’s easy, especially as the head of a company, to become myopic. Your team, no matter how talented, might not be your harshest critics. A NED role compels you to take a step back, see the bigger picture and avoid the pitfalls of insularity.
Indeed, there’ve been many times when, during a board meeting, I’ve offered advice that made me think, “I should probably take my own advice on that.” This cross-pollination of ideas keeps your mind active and ensures you remain adaptable and innovative.
Engagement and communication
Effective onboarding and ongoing dialogue are crucial for NEDs to truly understand the business dynamics and provide valuable input. And for those just embarking on their NED journey, there were some wise words from Sally Dunwoody, Partner at executive recruitment firm Warren Partners – who appoint a lot of NEDS, particularly in the FS sector – on the Midlife Mentors podcast. Here, she emphasises the importance of maintaining networks in order to be front of mind for those looking for NEDs. She rightly points out that your LinkedIn profile should showcase both your achievements and your personal principles, so it’s a reflection of your values and professional ethos. NEDs are hired for cultural fit as much as they are for their skills.
From my own journey, the most successful NED engagements have been those where I had a direct line with the CEO, allowing for informal chats outside of board meetings. The Japanese even have a word for this – nemawashi – which refers to those corridor chats with colleagues where you try and build consensus for a proposal. This kind of communication helped me understand the nuances of the business, making my contributions during formal meetings far more impactful.
Balancing risk and innovation
One of the significant challenges in NED roles is dealing with overly risk-averse boards. In my time I’ve encountered boards so focused on risk mitigation that they stifled innovation. It’s a delicate balance. NEDs should provide sage advice and empower executive teams to make bold, yet calculated, decisions. As I often say, it’s better to make mistakes of valour than mistakes of cowardice. This mindset encourages leaders to try new things and learn from failures rather than avoid risks altogether.
A personal mantra that has guided me is to support, not dictate. The worst NEDs are often former CEOs who can’t let go of the steering wheel. Your role is to empower the executive team, not to drive. Offering confidence and encouraging calculated risk-taking can help prevent the stagnation that more timid boards inadvertently create.
The onboarding odyssey
The onboarding process for NEDs is a journey of discovery. It’s essential to start with structure, especially since NEDs often come from different industries and have limited tenures, typically up to nine years but often much less. A well-organised induction, usually overseen by the Company Secretary, ensures that NEDs understand the company’s dynamics and can contribute effectively.
A structured onboarding program isn’t just about providing information. It’s about immersing NEDs in the business, helping them meet individuals across the company and understanding the interconnectedness of different roles. This comprehensive understanding is crucial for NEDs to add value and avoid feeling like decorative yet purposeless figures.
Defining success and avoiding misconceptions
There’s no specific timetable for when an NED can start adding value. However, it’s crucial not to rush this process. Listening and understanding the business dynamics are as important as making an immediate impact. Boards should allow NEDs to follow their interests, which can quickly identify opportunities for improvement.
Common misconceptions about NEDs often stem from a lack of clarity in their roles. It’s vital to set clear parameters and expectations. “Eyes on, hands off” is a good way to describe the ideal NED approach. Continuous communication helps both the executive team and employees understand the NED’s role and contributions.
Curiosity and flexibility
Curiosity is a defining feature of a good NED. Being deeply interested in the business enables NEDs to provide valuable insights and suggest innovative approaches. Flexibility in the onboarding process allows NEDs to explore areas that pique their interest and adapt their contributions to their unique
backgrounds.
As this Deloitte report reveals, though, being an effective NED is something of a balancing act: “A strongly opinionated individual with big ideas and more of an edge, whether right or wrong, may make a fantastic NED on paper but could be seen as a threatening force to the executive team to the point where the atmosphere becomes counter-productive.” So, finding that chemistry between being challenging and being a team player is key. Understanding the socio-political dynamics within the management team and building trust means NEDs will navigate effectively and make meaningful contributions. Blending consultancy and NED roles in later life can be incredibly rewarding. It offers the chance to apply your experience in new ways, keep your mind active and contribute to the success of multiple organisations. With proactive engagement, balanced risk-taking and effective onboarding, you can master these roles and find a fulfilling path in the next chapter of your career.
