In July 2018 the BBC ran a news article about the fact that Australian Billionaire James Packer resigned from 24 boards in total where he held directorships as one of the country’s most prominent businessmen. His spokesman in a statement announced that Packer was “suffering from mental health issues” and was seeking treatment for depression. Packer is not a lone case. In fact: given currently ongoing global mega-issues, chances are that the number of board directors struggling with mental health might only increase going forward.
Covid-19 times have put a fair bit of strain of board directors, both privately and business-wise. One way to deal with it – and by all accounts and purposes the most common approach – is to compartmentalise:
Focus on the finance of company A today; the succession planning of company B tomorrow; and deciding on executive pay cuts at company C the day after. The evenings are no less charged with juggling family logistics, emotional well-being of friends, and neighbourhood engagements.
Another area that is increasingly taking a personal and professional toll is the new reality of Climate Change Impacts: those already present, but even more so those that are yet to come. It is a process that often starts on a personal level – reflecting on the future of their children and grand-children – and then cascades into genuine professional concern and considerations. It is a phenomenon called ‘Climate Anxiety’.
Compartmentalisation is not something unique to Covid-19 times, however. Most of us use the strategy in one way or another at different times in our lives. Typically when there is too much going on in parallel, or when we’re emotionally strained but have to keep functioning nonetheless in our daily business and private lives. Compartmentalisation creates a subtle balanced slack line to balance on.
For professionals, and in particular for people in leadership positions such as boards and the C-Suite, compartmentalisation results in a sort of mask, under which they hide their genuine concerns. It is considered a sign of utmost professionalism to display this kind of ‘stiff upper lip’.
Compartmentalisation is useful to some extent, no doubt: it can allow to function efficiently and adequately on the short-term. Always as long it does not become a ‘chronic survival tactic’.
Covid-19 vs Climate Change: Overwork vs Anxiety for the Future
The responsibility of board members – long-term survival of the business – combined with the deep going changes (such as those as a result of Climate Change) of the decades to come on the one hand, and an equally deep reaching uncertainty for the future, well-being, and lives of loved ones, will impact board member’s mental health: stress levels, qne pressure to perform and live up to the responsibility will be going up; while at the same time director’s could feel challenged to uphold their general positive outlook onto the future. In an increasing number of cases, those pressures could accumulate, and then trigger something much worse: a burn out, a clinical depression, or full-fledged anxiety.
During Covid-19 times, boards were swamped with demands to ‘fix’ the arising situation on a day-by-day basis. Uncertainty horizons reach as far as maybe 2023. No doubt a very tough situations for most businesses, as they are used to operate in reasonably certain circumstances. And none of that was to be had for the last few months, nor will likely be the case for the next 12 to 18 months at the very least. But while the time horizon and the exact developments are uncertain, the measures at hand are reasonable concrete, if not even to say traditional: cash flow management, supply chain issues solutions, furlough schemes; IT systems, flexible working hours, staff health and well-being are just a few to name.
Overworked, or burn out, boards and executives is not something new – albeit also not something usually talked about – the results of Future Anxiety (above and beyond Climate Anxiety) are a new phenomenon.
Very differently from the Covid-19 situation, when it comes to Climate Change uncertainty prevails in all aspects: time horizon, actions required now and going forward, impacts on business, policy and legislation (albeit scenarios do exist) shifts when it comes to business. Yet: It is also an area where precisely this uncertainty weights heavy on the positive outlook board members may be able to muster in the private realm for the well-being of their families: A tough call.
Opening up: A board is more than a team of co-workers
First: We know that for the C-Suite, health issues – including mental health issues – are one key reason for high turn over. It can be assumed that something not dissimilar will be the case for boards also, albeit there will be significant differences on how such a turnover will be managed and reflected to the outside world.
Then: Precisely because the responsibility of board members is so critically linked to the long-term of a company – and therewith also the societal context the business operates in – a different type of dynamic in boards might be important.
One that goes above and beyond ‘just doing the job they are required to’. But one that allows for the personal doubts, insecurities and vulnerabilities when it comes to those ‘thoughts about the future’ to be voiced. Without being ridiculed. Without it being tagged as ‘your problem not my problem’.
These concerns are real … and more often than not justified beyond the personal realm. In fact, they open up in most cases some very inconvenient conversations that though absolutely must be had. Such as:
- Does the work of the board directors steer the company in a directions that damages the future of their children and grand-children?
- What is the raison-d’etre of the company in today’s world?
- Would they recommend their children or grand-children to work for this company?
- Can they be proud of what the company does and what their role was in that?
I believe that creating boards that are able to open up about doubts, challenges and concerns is like adding a booster gear to their functioning, reaching deep into an individuals motivation and passion. Opening up about how taxing their work can be on their mental health can take off some of the pressure the directors live through.
It also, could add a whole new dimensions to professional discussions and help to ask harder, but equally necessary questions to the executives running the day-to-day business.
