In times of uncertainty, the relationship between a board and the executive team should be a source of strength. But when performance is under pressure, that relationship quickly becomes a source of strain. Yes, boards have a critical job to do. Their oversight, accountability, and long-term perspective are vital to company health and performance. It’s when that oversight tips into overreach that the cost to the business can be significant. Here’s what that can look like:
Board Engagement Goes Into Overdrive
Instead of giving management space to course correct, boards increase the volume of requests and deepen their involvement. Management ends up spending more time preparing decks or responding to board questions than solving problems and addressing issues.
You’re Pushed To Engage Board-Favored Firms Or Consultants
Even well-intentioned referrals can feel politically loaded if those advisors are seen as board proxies rather than true partners to the CEO and management team.
The Chair Dominates; Other Board Members Stay Quiet
Power can become concentrated in a single board member, especially in crisis or founder-led environments. Without active participation or leadership from the rest of the board, governance suffers, and CEOs are left navigating a one-person approval funnel.
Founders Who Sit On Boards Interfere
In founder-led or founder-influenced companies, legacy leaders may continue to attend internal meetings or offer informal input. While their insight can be valuable, this often confuses authority and undermines the CEO’s role in leading.
The Appetite For Detail Becomes Unmanageable
Some diligence is essential. But when board members dive too deep or question every metric or data point, it doesn’t just slow things down — it sends an implicit message: “I don’t trust you.”
The broader environment is contributing: Tariffs, supply chain volatility, geopolitical instability — these headwinds increase pressure on boards to “do something.” When numbers dip, so does confidence, and without visible progress, some boards stop believing the leadership team has it under control and start stepping in. This dynamic can be even more pronounced in founder-led, PE-backed, or highly operational boards, where the distinction between governing and managing may not be as clearly defined.
Another sensitivity: Many management teams see the breakdown coming before the CEO does. They may want the CEO to push back on the board, but that’s no small task. Boards hold power, and speaking up takes political capital and comes with real risk.
While overreach from the board can become frustrating, exhausting, and disappointing for management teams, the dynamic presents an opportunity to reestablish boundaries, grow trust, and strengthen transparency. Consider these steps:
Good CEOs and executives understand that the job isn’t just to lead the business, it’s to lead the board. That means shaping how they engage, protecting the space your team needs to perform, and making sure well-intended oversight doesn’t quietly become your biggest operational, performance, and execution risk.