Stacey Daniel FIEAust CPEng NER examines why it is critical for boards to have a diverse mix of professional and technical perspectives, especially from people with engineering backgrounds. 

The work of a board director or committee member can be extremely rewarding, particularly when being able to make a difference and help improve the outcomes of an organisation. 

As we face increasing uncertainties and complexities in our world, clear and effective decision making is becoming harder.  

With boards and committees responsible for setting strategic direction and providing business oversight, diverse perspectives including professional and technical input, are essential for well-informed decisions and health discussions. 

Professional diversity  

We often hear about gender diversity. However, in the context of a board, professional diversity is equally important.  

Having a range of skills around the board table broadens the representation and expands the collective views to to enable richer deliberations.  

This enhancement of perspectives provides the board with many benefits when addressing challenges facing organisations, businesses and communities, such as greater innovation, improved understanding of risks, better governance and greater assurance of sustainability.  

The importance of professional diversity is highlighted by the notion that not every board member needs to be the expert across all business matters but rather, the board collectively attains what’s relevant and necessary to effectively steer their organisation.   

That means an individual board member can be a subject matter expert or specialist providing they can adequately contribute to the board’s overall success in addressing the broader needs of the business.   

Technical diversity 

Historically, due to compliance requirements, boards have often comprised lawyers and accountants. To adequately address the running of an organisation, there may are many other professional and technical inputs which may be required. These could include human resources, marketing, science and, of course, engineering!   

Previous studies showed that few engineers or even STEM professionals occupied board roles. 

A well-balanced board will comprise a skills mix that reflects the status of the organisation. As a group of decision makers responsible for physical or IT assets, such technical expertise should be reflected in the board table. 

However, this is just scratching the surface of the value that engineering thinking can bring to a business. 

Engineering value  

We can sometimes associate engineers with being highly technical detailed professionals. 

However, like any profession, there is a wide range of skill sets that varies between individuals, some of whom have advanced strategic skills.   

The value engineers bring to a board is a unique suite of qualities and attributes including critical thinking, creative abilities and collaborative approaches.  

This makes them highly prized for leadership positions and ideal for bridging the gap between technical and non-technical matters, designing innovative products and systems, solving problems, reducing risks, and planning strategically.  

Engineers also often work in multidisciplinary teams and manage the delivery of large projects. These administrative skills can be easily transferred to a board and committee environment.  

Society and organisations need engineers to step up by realising their value and the impact they can generate by throwing their hat in the ring for board roles.   

Boards can benefit from engineers asking tough questions, analysing data and helping make decisions about alternate options. This requires a relevant and balanced mix of skills around the table to adequately assess and form judgement on key matters and directions.  

Hence the key to leaning toward the right outcomes is having engineers in the mix! 

Board composition 

With the integrated complexity of climate problems, infrastructure issues, social impacts and financial burdens, diverse perspectives can help organisations find an optimal way forward.  

With the challenges we face as a society, there is a desperate need for a combination of skilled professionals to be appointed to boards and committees as a means of making the best decisions on behalf of beneficiaries and stakeholders.  

A company that has a limited range of skills represented on its board table, and finds that it isn't able to address or resolve complex matters, should reconsider its board composition.  

Equally, companies should think about how their board or committee may benefit from the value engineers bring to the boardroom. Like any appointment process, the candidate criteria needs to fit the collective suite of skills and reflect the needs of the organisation.  

Engineers on boards  

Drawing on your professional skills for roles other than your day-job can be rewarding. This is particularly the case where you can contribute to the positive work and outcomes of boards and committees for beneficiaries.  

While the opportunities may look good on your curriculum vitae, be sure to join a board for the right reason — making decisions on behalf of others, not for the title or your personal gain.  

Joining a board may seem intimidating and daunting. 

That’s why I have teamed up with Engineering Education Australia to  demystify the world of board work. This short course will help you understand the pathways, find suitable positions and outline how to put your best foot forward for the right role.  

As there are many types of boards and committees, the course is suitable for engineering professionals from any discipline and of all career stage. 

I hope to see you there. 

Read more about Stacey’s Engineers on Boards short course here.