Aug 12, 2025

Creative Governance: Balancing Innovation and Risk

Insights from Gerry Lynch, Director at Govn365

What digital cameras, Microsoft, and your next board decision have in common.

That was the provocation Dr Mark Bregman left us with in our recent Govn365 webinar: What’s stopping your board from seeing the future—and acting on it before it’s too late?

Kodak invented the digital camera—and then buried it to protect their core business. Meanwhile, Microsoft recognized they were off course and replaced Steve Ballmer with Satya Nadella, ushering in a culture of reinvention.

Rethinking the Agenda: What Should a Future-Focused Board Meeting Look Like?

If your board pack is 90% backward-looking, you’re flying with one eye shut. Mark recommends:

  • More time looking ahead
  • Less time deep-diving last quarter’s reports
  • Regular space to test and track experiments (Horizon 3)
  • Active pursuit of what’s emerging (Horizon 2)
  • Confidence that Horizon 1 is performing and creating capacity

Explore the Art of the Possible

Boards must hold CEOs accountable for the future, not just the now. Ask:

  • Where are we investing in Horizon 2 and 3?
  • What needs to be true for these bets to succeed?
  • How can we test them quickly and cheaply?
  • What evidence would tell us to double down—or walk away?

Increase Your Perspective

Mark recommends boards:

  • Bring in external advisors with emerging expertise
  • Challenge assumptions through diversity of thought
  • Regularly review and upgrade board capability—not just replace like-for-like

Understand Your Category’s Hype Cycle

Use the Gartner Hype Cycle to understand where your category sits—emerging, disillusioned, maturing—and calibrate investment accordingly.

Key Takeaways

  • Don’t protect the past at the cost of the future
  • Balance compliance with creativity
  • Use the Three Horizons to frame—not flatten—strategy
  • Challenge the CEO to explore new growth opportunities
  • Build future capability into your board
  • Know your place on the hype cycle—and act accordingly

Book a 15-minute chat with Gerry Lynch