From 'In Control' to 'In Action' Exploring Board Roles Within the 21 st Century Corporation

The 21st century global systems dynamics calls for a new perspective on corporate governance as the current ‘in control’ is ineffective, precisely because of the impossibility of control in a complex world of uncertainty. Thus, the new actionable perspective on 21st boards is focused on balancing exploitation and exploration. Exploitation in the boardroom enhances (soft) control in the embedded corporate network, through active cooperation, pro-­ ‐social behavior and principles of reciprocity. It simplifies decision making in a complex world, particularly in a context of many stakeholders. Exploration in the boardroom is aimed at absorption of the complexity, through sharing decision making authority in networks, the stimulation of search behavior and allowing for multiple private and social objectives. The board acts as an important facilitator of the learning capabilities of the organization and the reconfiguration of processes and structures.