Key Governance Takeaways From FTX, Theranos, and OpenAI

On this episode of RRE POV, Jason, Raju, and Will discuss the craziness happening within high-profile companies like FTX, Theranos, and OpenAI. The trio dissect the spectrum of control between founders and board members, the crucial importance of having board members who speak up when they see something wrong, and why companies fail when investors assume that governance will magically sort itself out. Jason explains why being a great listener makes you a great board member while Will and Raju share some of their most valuable insights after spending time with board archetype out there.

Show Notes
(00:00) Intro

(00:32) A general overview in the spectrum of how much governance boards have in high-profile startups

(04:27) The importance of constructing a board around skill gaps and philosophical alignment

(08:21) The pros and cons of passive boards vs. active boards

(12:21) The board’s responsibility to represent shareholders who don’t always have a seat at the table

(16:15) Why companies need board members to speak up when they disagree

(17:34) The pitfalls of assuming governance will sort itself out

(21:56) How being a great student and listener makes you a great board member

(23:35) Valuable lessons from Will and Raju’s time on various boards

(25:40) Using your board for feedback

(27:17) Why micro adjustments make you a more effective board

(29:49) The insights gained by spending time with the management team

(32:00) Why successful founders continuously return to the same people for guidance and investment

Links Referenced:

• @RRE: https://twitter.com/RRE
• rre.com: https://rre.com