27 Board observers—observe only please

 
  • Why are there board observers and how do they earn a seat at the table?
  • How do some observers deviate from normalcy and end up disrupting the board meeting?
  • Is there any way to remove problem board observers?

I’ll be very honest up front: I have no love nor tolerance for board observers, and if you get one thing out of this anecdote, it will be to push back very hard whenever a board observer is requested or even demanded to be added to your board. They are like the pet pythons who have escaped or been dumped and are now an invasive species in the Everglades and no one is quite sure how to get rid of them. Let’s explore what they are, how they get added to your board, and what you can do to avoid or remove this “species.”

27.1 What is a board observer?

Here are a couple helpful distinctions between a board director and a board observer.

Note

A board director has legal responsibilities to the company and has voting rights. They are permitted to speak at board meetings. A board observer has no legal responsibilities to the company. Their duty is to the organization that appointed them. The board observer has no voting rights. The board observer is not supposed to speak at board meetings.

27.2 Stories of bad board observer behavior

 

27.2.1 The loudmouth undisciplined observer

 
 
 
 

27.2.2 The self-dealing observer

 
 
 

27.2.3 The palace Coup Observer

 
 
 

27.3 Can you get rid of observers?

 
 
 

27.4 The moral of this anecdote

 
 
 
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