As an external partner working closely with companies to help them scale and evolve, we’re in a unique position at The49. We see how businesses operate behind the scenes, from establishing a strategy to the implementation of technology. This allows us to see the quality of their decision-making, risk awareness, and internal alignment, which in turn is driven by the strength (or weakness) of their governance model.
And time after time, we see the same pattern: companies with good governance grow faster and more sustainably than those without.
What do we mean by “good governance”?
Governance isn’t about red tape or box-ticking. It’s the framework that supports how decisions get made, how risks are managed, and how the right people stay informed and accountable.
Good governance provides:
- Clarity on roles and responsibilities
- Confidence in how priorities are set and evaluated
- Resilience in the face of risk or change
- Alignment of purpose across teams and departments
Governance in practice: Rightsizing
In highly regulated industries, like financial services or healthcare, companies may need complex governance structures with multiple committees and formal escalation paths. These frameworks protect the company, its customers, and its licence to operate.
Governance doesn’t always need to be heavy-handed, but it does need to be present, and thought through. In a fast-moving tech startup, for example, a lighter-touch model, like a simple set of metrics and KPIs and clearly defined accountabilities, may be entirely sufficient. What matters most is that the governance model fits the context and scales with the business.
What good governance always has
Regardless of size or sector, the best governance models tend to share three things:
- Clarity: Everyone knows who decides what, and where accountability lies.
- Consistency:Governance processes are always followed, not just when it’s convenient.
- Visibility: The right people have clear sight of key information, including risks, metrics, and decisions.
Companies that get this right are better at prioritising, faster at responding to change, and more trusted by investors and customers alike.
How do you know if you’ve got it right?
Ask yourself:
- Do decisions feel slow, unclear, or subjective?
- Are risks only addressed when they’ve already materialised?
- Is senior leaders time spent reacting to operational items, instead of shaping strategy?
If any of these ring true, inadequate or ineffective governance might be holding your business back.
The bottom line: Someone needs to own it
Governance isn’t just a boardroom concept. It plays out in real meetings, real decisions, and real results. If no one is actively responsible for shaping it, maintaining it and enforcing it, governance drifts, people get confused and growth stalls.
Make someone accountable for governance as a business enabler, not just a compliance function. Because when governance is done well, it doesn’t get in the way, it clears the way.
How can we help?
At The49 our team has worked with many businesses helping them sharpen their governance frameworks. We often do this as a free service while working on existing engagements. Before you think that is overly generous, it is actually also in our own best interests. We want the work we do to have a rapid and lasting impact, and that is more likely to happen with a strong governance framework in place.
In recent years we have worked with many partners in this field including:
- Creating new MI suites and dashboards to aid decision making.
- Assessed governance frameworks of a partners M&A target as part of their due diligence process.
- Conducted an end to end governance review for a small direct to consumer insurance business.
- Rebuilt a delegated authority framework for a large UK insurer.
- Conducted a Board Governance review of a large national charity.
Strong governance clears the way for smarter decisions and faster growth. If you think yours could be sharper, let’s talk.