illuminem summarizes for you the essential news of the day. Read the full piece on Harvard Business Review or enjoy below:

🗞️ Driving the news: The governance models of public company boards and private equity (PE)-owned company boards differ significantly
• Public boards maintain a traditional, somewhat detached oversight approach, while PE boards engage in more entrepreneurial, hands-on governance practices, fostering closer collaboration with management

🔭 The context: Public company boards have evolved to be more diverse and environmentally conscious, yet their operational approach has remained largely unchanged for decades
• In contrast, PE boards are more involved in strategy creation, trust-building, culture shaping, and providing operational insight, utilizing a set of guiding principles that encourage a more active and entrepreneurial role

🌍 Why it matters for the planet: PE board practices, such as actively shaping company culture and strategy with an emphasis on sustainability and ESG compliance, demonstrate an innovative governance model that could inspire public companies to adopt more responsible and forward-thinking approaches, potentially leading to positive environmental impacts

⏭️ What's next: The evolving governance model in private equity, which emphasizes collaboration, innovation, and hands-on leadership, suggests a shift towards more dynamic and effective corporate oversight
• This approach could serve as a blueprint for public companies seeking to modernize their governance structures in response to a rapidly changing business landscape

💬 One quote: "All of our portfolio company directors are active participants in setting strategy, sometimes getting started as trusted advisors before we even acquire the target company," says Dave Layton, CEO of Partners Group

📈 One stat: No specific statistic provided, but the article highlights the significant difference in board governance approaches between public companies and private equity-owned firms, suggesting a potential for greater effectiveness in the latter

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