When people think about the forces that drive successful businesses, they often point to leadership, innovation, capital, or market opportunity. And they’re not wrong—those are all crucial elements. But after spending decades advising companies of all sizes, I’ve come to believe that there’s another, quieter force at work behind long-term success: strong corporate governance.
Board governance doesn’t get flashy headlines. It’s not the kind of topic that dominates business magazines or makes a splash on social media. But in my experience, the way a board is structured, how it functions, and the values it upholds can make or break a company. It doesn’t matter if you’re a startup or a well-established business—governance is the foundation everything else stands on.
Governance Isn’t Just Compliance
Too often, companies think of governance as a box to check—filing board minutes, holding the occasional meeting, complying with basic legal requirements. That’s the bare minimum. Good governance goes far beyond compliance. It’s about asking the right questions at the right time, bringing in diverse perspectives, and holding leadership accountable in a constructive, strategic way.
I’ve sat on and advised many boards over the years, and I’ve seen the difference between boards that engage meaningfully and those that just go through the motions. Engaged boards are active, curious, and forward-thinking. They’re not there to micromanage, but they do challenge assumptions, push for clarity, and make sure that the company is moving in the right direction with integrity and vision.
The Best Boards Are Diverse and Dynamic
One thing I always emphasize when advising clients is that strong boards are built on diversity—of experience, background, and thought. Having board members who all come from the same industry, same professional background, or same worldview limits the quality of discussion. When you build a board that includes people from different sectors, with different skill sets and life experiences, you create a space where real innovation can happen.
As a Cuban-American who came to this country at a young age and grew up in Miami’s vibrant, multicultural community, I’ve always appreciated the power of diverse perspectives. It’s not just about representation—it’s about results. Companies with diverse boards tend to be more adaptable, more aware of risks, and better equipped to serve a broad customer base.
I’ve seen this firsthand in my own work. Whether it was advising public companies or serving on nonprofit boards, the best outcomes always came when the boardroom reflected a mix of voices and a willingness to listen to one another.
Board Culture Sets the Tone
Another part of good governance that often gets overlooked is culture. A board can have all the right people on paper, but if the culture is one of silence, rubber-stamping, or unchecked dominance by a single member or executive, it won’t function effectively.
Healthy board culture promotes open dialogue, respectful debate, and a commitment to the company’s long-term interests over personal agendas. It takes strong leadership from the chairperson and a clear understanding of roles and responsibilities.
When the culture is right, the board becomes a real strategic asset to the company. It’s not just there to approve budgets or vote on executive compensation—it’s a partner in planning for the future, navigating challenges, and identifying opportunities the leadership team might not see from the inside.
Governance Builds Trust
We live in a time when trust is everything. Investors, customers, employees, and communities all expect more from companies. They want transparency, accountability, and leadership that’s responsive to both market forces and societal values. Strong governance is one of the best ways to build and maintain that trust.
When a board is functioning well, it signals to the outside world that the company is being run thoughtfully and responsibly. It gives investors confidence, it reassures employees, and it shows regulators and partners that this is a company that takes its obligations seriously.
That trust becomes especially important in times of crisis—whether it’s a financial downturn, a leadership transition, or a public relations issue. Companies with strong governance are better positioned to weather storms because their decision-making processes are sound, their leadership is accountable, and their values are clear.
Lessons for the Next Generation
I often speak with younger professionals and rising leaders who ask how they can make a meaningful impact. My advice? Don’t underestimate the power of governance. Whether you’re working inside a company or serving on a board, take the time to learn how good governance works. Understand how decisions are made, how accountability is maintained, and how values are upheld.
There’s a real opportunity right now for a new generation to shape governance in a way that’s more inclusive, more responsive, and more forward-looking. I encourage young lawyers, business professionals, and entrepreneurs to get involved—join a nonprofit board, volunteer for a committee, or study how effective boards operate. It’s one of the best ways to grow as a leader and to make a lasting difference.
Governance isn’t loud or flashy—but it’s powerful. In my career, I’ve come to appreciate that strong, thoughtful governance is what allows companies to grow sustainably, serve their stakeholders, and stay true to their mission.
Behind every great company, there’s a great board—one that asks the hard questions, embraces diverse perspectives, and holds itself to the same standards it expects from others. That’s the quiet power of governance. And in today’s world, it’s more important than ever.