To make sound decisions in a boardroom you need a combination open discussion, strategic analysis and technology. These strategies, when implemented effectively, can greatly enhance the ability of boards to make a decision and lead to the long-term sustainability of an organization.

The first step is to gather all the information available and make sure it is reliable, complete, accurate and comprehensive. This is the responsibility of management and includes collecting information from both internal and external sources. It also includes conducting research and ensuring that the board receives timely, comprehensive information.

Once the data has been gathered the next step is identifying the potential options that could resolve the issue. This can be a long process, especially when trying to find consensus. Some boards use methods such as the Six important source Thinking Hats or Disney Planning Method to avoid the formation of groups and to promote an array of possibilities to be thought about.

The board then has to decide which option to consider. This typically involves a number of factors such as cost and the impact. Scope can be measured in terms of dollars, years or the number of people impacted (e.g., clients or staff). It is beneficial to have a framework that ties these criteria in with the board’s general principles of governance for the company.

When the decision is made the board must announce it in the minutes and describe the process by which it was reached. This should include the reason for the decision and a list of possible options or any advice sought, as well as the criteria that were fulfilled or not.