What can association boards do to encourage innovation and productive risk-taking by executive management?
Dealing with orthodox beliefs is a great first step, and a second step is for boards to embrace what I call “the duty of foresight,” which is about making sense of the future on an intellectual level, making meaning around its implications for their organizations and making wise decisions to anticipate and adapt. When boards develop a consistent practice of foresight, the need for on-going innovation to drive new value creation becomes clear.
Perhaps the most important type of innovation for associations to pursue is business model innovation. A business model is the rationale of how an organization creates, delivers and captures value, and business model stewardship is the most important expression of fiduciary responsibility for association boards. Through the work of business model innovation, boards and staff can put their stakeholders first by making new value creation their top priority.
Dealing with orthodox beliefs is a great first step, and a second step is for boards to embrace what I call “the duty of foresight,” which is about making sense of the future on an intellectual level, making meaning around its implications for their organizations and making wise decisions to anticipate and adapt. When boards develop a consistent practice of foresight, the need for on-going innovation to drive new value creation becomes clear.
Perhaps the most important type of innovation for associations to pursue is business model innovation. A business model is the rationale of how an organization creates, delivers and captures value, and business model stewardship is the most important expression of fiduciary responsibility for association boards. Through the work of business model innovation, boards and staff can put their stakeholders first by making new value creation their top priority.