Constancy: The Other Side of Change

We should fully expect 2025 to be filled with major change—a reality that boards and directors have encountered throughout my time with NACD. Ever since the Internet catapulted businesses into the digital age, boards have been focused on preparing for a highly uncertain future. And as our most recent NACD 2025 Trends and Priorities Survey shows, 80 percent of directors find it either very challenging or moderately challenging to develop and commit to a long-term growth plan.

From the need to absorb the massive regulatory requirements of the Sarbanes-Oxley Act of 2002 and the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 to the wide-ranging deregulatory periods, we have already seen in this first quarter century that boards need to pivot on a dime. Read any proxy statement or press release published in this 21st century and you are likely to find an emphasis on themes such as disruption, volatility, and strategic pivots. In the latest Trends and Priorities Survey, 48 percent of respondents said they feel that crisis-like disruptions are more frequent relative to five years ago. It is as though every corporate leader agrees that “change is the only constant.”

During this period of uncertainty, I feel impelled to look at that other side of the coin of change: constancy. We can all recognize and embrace continuing values in the boardroom, such as fiduciary care and loyalty, supported by information, attention, and good faith. These enduring values help explain the continued relevance of publications such as Bridging Board Gaps: Report of the Study Group on Corporate Boards, featured in this issue. That is why NACD strives to present in our programs and resources, including Directorship, a blend of established fundamentals and emerging issues.

The NACD Directorship Certification^® exam is a perfect example of this blending of constancy and change. Developed by a team of experienced directors from a range of company types, the exam tests for both facts and judgment. Exam questions are regularly updated, yet the answers to some questions—along with the need for common sense—remain unchanged. As an old song written by Herman Hupfeld and made famous by the film Casablanca says, “the fundamental things apply as time goes by.” ■

This article is from the Spring 2025 issue of Directorship.