FCD Series Module B: Stakeholder Voice in the Boardroom

In the past two years stakeholder activism and influence has grown, threatening companies everywhere and impacting the bottom line, including Malaysia. It is being driven by rising expectations globally of business’s central role in creating a kinder more sustainable world -- expectations that have been accelerated by the shock of COVID and growing alarm over the climate change threat.

This trend has spurred a growing number of boards of directors to think hard about what they need to do differently to adapt to a changed world where previously acceptable behaviour and values are no longer acceptable. Their influence is getting stronger with governments and regulators on whom companies depend for licences, merger/acquisition approval, investment incentives, and enabling import/export regulations. We are at the inflection point where regulators believe the activists, not the companies.

Managing this growing stakeholder influence has never been more important. Whatever the catalyst for activism, communicating with your major stakeholders is critical whether employees, suppliers, customers, regulators, governments, media, activists and NGOs. To manage successfully, companies have a range of options open to them, founded on the core principles of open engagement, listening, building deep understanding of activist positions and motivations, building bridges and ensuring that companies polices and process reflect the changing world.

This session explores the changes that impact businesses that accelerated the growth of stakeholder activism. The session will also delve into the activist's winning strategies and tactics, effective stakeholder management programmes as well as recognising the red flags of ineffective stakeholder management.

Learning Outcome

• Discuss the changes that are impacting business broadly today and trends
• Identify stakeholder and activist strategies and tactics and why they are succeeding
• Discover how to develop stakeholder programmes and processes that identify threats early and manage them to prevent business disruption and provide business opportunity for growth
• Explain appropriate review mechanisms
• Identify how companies have managed stakeholders well in Malaysia and where opportunities were missed
• Recognise the telltale signs of a company out of touch with its key stakeholders
• Describe the key touch points for board to monitor to assess company performance

Target Audience

For newly appointed to senior directors