Issue link: http://cp.revolio.com/i/1059224
110 | AD Today 2018 | OWN IT W h o 's Yo ur S o un din g B o ar d ? Karla Neupert Hockley President Consolidated Supply Co. Continued from page 109 a cross-section of expertise (including at least one member with experience in family-run businesses), "we interviewed several people and invited them for a three-year term," she said. At Risoul, "we reached out to a consultant at our nearby university, Tecnológico de Monterrey, and also involved a consultant in distribution to help us visualize areas of opportunity as a distributor," Ayala shared. Over a period of 6-8 months, during which the owners and their daughters discussed their interests in and visions for the business, the team ultimately created a Board of Directors consisting of the two owners, two of their three daughters who expressed a desire to participate, and two external advisors with experience in the distribution industry "who understand the distribution model and can offer ideas that can help me take the business to the next level," he said. Dentons' Boyajian confirmed that Young, Neupert Hockley, and Ayala were all on the right track to creating a productive and successful Board. "When you're building a Board, it's great to start by thinking about your strategic plan and what you're trying to achieve in the next 3-5 years," he explained. "If it's global expansion, for instance, consider pursuing a candidate who's led that effort for his or her own company or consider an M&A expert if you're pursuing an acquisition. Maybe you'd benefit from an expert in financial planning to help bring rigor to your finance function, "We wanted to have a diversity of backgrounds represented and now have a CEO from our industry, an executive from a very large industrial distributor that focuses on financial operations, and a CEO from a local family business on our Board." – Doug Young, Behler-Young Co. a fellow entrepreneur you trust who's been through the process of growing a company, or else someone who has a personal 'brand' or 'star fire,'" Boyajian said. Other options can include CEOs, private equity or venture capitalists, accountants, legal professionals, and more. THE NUTS AND BOLTS OF OPERATING YOUR BOD At Behler-Young, "we meet three times per year face-to-face and send out a progress report in between each of those face-to- face meetings," said Young, who added that his company's board "holds us accountable to our shareholders and stated goals." Consolidated Supply's Advisory Board similarly meets three times a year for lunch and a four-hour meeting. In addition to having access to the company's financials and strategic initiatives, "the function of our Board is to hold senior leadership accountable, mention the 'elephant in the room' if no one else sees it, help us engage in succession planning, etc.," said Neupert Hockley, who describes their impact as 'extraordinary'. "They provide a safe haven of experience and professional expertise that's allowed us to move more swiftly when it comes to pursuing initiatives, making strategic hires, and leveraging resources within local universities, Doug Young President & CEO Behler-Young Co.