AI in the Boardroom: Navigating the Next Frontier

Recently, Stanton Chase Amsterdam hosted its annual Non-Executive Directors Breakfast series. The topic, AI in the Boardroom, was moderated by Denelise L’Ecluse, Chair of the Advisory Board at AI4ALL. 

Denelise’s introduction was inspiring and addressed the context of AI on the global stage, focusing on the geopolitical situation, the role of Europe, and within that, the role of the non-executive board. She started with five simple but eye-opening questions. 

In all cases, fewer than 25% of participants raised their hands. On some questions, only four to six people did so (out of well over 70 combined across all three sessions).  

That matters when you consider what is happening globally. AI is not a passing trend; it’s become central to how nations compete. Denelise pointed to China’s approach, emphasizing its control over critical resources, investment in digital currency infrastructure, and influence on global technology standards. China’s integration of AI into daily life and industry contrasts with Europe’s more cautious, regulatory-focused stance. 

The United States is perceived as action-oriented, with a culture of rapid innovation and high productivity, leading to dominance in cloud computing and considerable influence over European digital infrastructure. Europe, recognizing the urgency, has launched the “AI First Continent” initiative, aiming to shift from regulation to large-scale AI adoption and production. The EU’s action plan focuses on infrastructure, productivity, talent development, ethical standards, and global partnerships, backed by substantial public and private investment. 

A key regulatory development is the EU AI Act, which categorizes AI systems by risk and imposes strict requirements on high-risk applications, especially in sectors like critical infrastructure, HR, and public services. Organizations must implement risk management, transparency, and human oversight for compliance. 

From a non-executive board perspective, successful AI adoption requires clear vision, organizational redesign, and leadership engagement, not just pilot projects. Talent shortages, energy demands, and capital market limitations could hinder progress. The role of board members and leaders is evolving: they must develop AI literacy and actively guide their organizations through technological change to ensure future resilience and competitiveness. 

In parallel, cyber threats are rising in scale and sophistication as AI empowers both organizations and attackers. This dual dynamic makes cybersecurity inseparable from effective AI governance and demands board-level attention. 

Denelise concluded by framing AI as a new foundation for European sovereignty and prosperity, urging leaders to move beyond compliance and embrace AI as essential economic infrastructure. As Lenin said: “There are decades where nothing happens, and there are weeks when decades happen.” We are experiencing the latter and cannot afford to ignore the rise of AI and the impact on the companies non-executive directors are supervising. 

Following the introduction, participants were asked to debate two core questions: 

• How do we become a board ready for the 21st century? 
• What kind of leadership is necessary to address the ever-growing impact of AI and create future-proof organizations? 

The discussions were lively and engaging. The following summary can be shared: 

Question 1: How Do We Become a Board Ready for the 21st Century?

1. Bridging the Boardroom Divide

There is a widening distance between the strategic layer (the board) and the operational, often highly technical, reality inside the organization. Boards find that the traditional two-tier structure creates too much separation in a world that moves at digital speed. 

A possible solution could be a unified (one-tier) board model, a temporary advisory board, or simply increasing the cadence and quality of conversations between NEDs and executives. Bridging this divide is essential if boards want to see what is really happening in the organization and stay “in the belly of the whale” instead of observing from a distance. 

2. Broadening Perspective and Integrating New Talent

Many NEDs acknowledged that their perspective needs to expand to keep up with an environment shaped by geopolitical turmoil, fast technological development, cybersecurity, and new regulations. There is a growing acceptance that younger generations already know what boards are still trying to learn. The intuition about new technology, digital culture, and ecosystem thinking comes naturally for digital natives and is therefore valuable to the board. Including these voices, whether through advisory councils, reverse mentoring, or AI-literate experts, will help boards sharpen their questions and connect more directly to the organization’s future. This broader lens can then help boards see both sides: the risks of AI and the potential for value creation and increased shareholder value. 

3. Strengthening Resilience: Risk, Cybersecurity, and Opportunity

Cybersecurity is increasingly seen not just as a risk but as a strategic asset. There is no guarantee for full protection, yet building security in from the start gives boards greater awareness of vulnerabilities and the ability to act early. Understanding AI is essential here: the same technologies that elevate organizational capabilities also accelerate the tools available to criminals, whose methods evolve rapidly and at scale. This dynamic is reflected in the cyber-criminal “market” itself, which grew from €350 million in 2014 to €24 billion in 2024. Effective oversight requires boards to treat cybersecurity and AI competence as inseparable foundations for resilience and long-term value. 

4. Governance, Ethics, and the Speed of AI

Ethics in tension with speed is an important subject for boards. Boards acknowledge that decisions cannot take months when technology evolves weekly, yet ethical considerations cannot be sidelined. There is a growing need to provide frameworks with clear boundaries, transparent rules, and vigilance around bias, privacy, and security. There are cultural differences in ethical frameworks across global operations; this requires a more holistic view. AI education for boards, with a preference for hands-on workshops rather than theoretical sessions, is considered essential to keep ethics and speed in balance. 

5. Vision, Leadership, and Future-Ready Succession

Boards acknowledge that their core task is to hold the long-term vision, future-oriented and with the right balance between shareholder and society value. The executive team must execute, but the board must stay close enough to evaluate whether efforts are coherent and realistic. 

Succession is an area of concern: the next generation of leaders cannot be just functional but must be able to bridge domains. A new expectation is emerging here: 

• The CEO needs to understand more of the technical landscape 
• The CTO needs to understand more of the business 
• A Chief Transformation Officer can become a natural connector 

The bridging capability in the C-suite strengthens the board’s collective intelligence and shapes an organization capable of adapting continuously. The challenge differs per organization depending on capability and size. It is clear, though, that rather than just adding to the traditional C-level job description, a new narrative must be defined. 

6. Differentiation Through AI-Driven Value Creation

Participants noted that operational efficiency is only the beginning and can quickly be copied by competitors. Reports like the recent MIT report on AI success show that a cost-effectiveness approach with merely a short-term view does not add to the bottom line. 

True differentiation comes from how organizations interpret technology: how they use it to deepen client relationships, anticipate patterns, create new forms of collaboration, and innovate around purpose. AI is not an end in itself. It must serve the organization’s mission and reinforce its competitive position. 

The key question here is: Where is our future value, and how can AI help us create value we could not create before? 

Question 2: What Kind of Leadership Is Necessary to Address the Ever-Growing Impact of AI and Create Future-Proof Organizations?

As AI continues to change the business world, organizations must adapt their leadership models to remain resilient and future ready. The discussion on the evolving requirements for leadership in an AI-driven world produced several key themes and guiding principles. 

1. Leadership Mindset: From Control to Growth and Adaptation

• Transition in Board Composition: Moving from traditional Tier 2 to Tier 1 boards, emphasizing strategic vision and growth-oriented thinking. 
• Embracing a Growth Mindset: Leaders must progress from simply articulating a vision (“why?”) to developing actionable strategies and fostering a culture of curiosity and learning. 
• Adaptive and Creative Leadership: The changing environment demands leaders who are agile, daring, and open to challenging the status quo. Profiles should not be static but instead reflect a diversity of backgrounds, experiences, and perspectives. 
• Next Generation Leadership: It is vital to incorporate emerging generations into leadership roles, ensuring a dynamic and forward-thinking approach. 
• Affinity for Change: Leaders should possess an understanding of how change happens and how value chains work, moving away from strict control toward ongoing learning and adaptation. 

2. Leadership for Networked and Digital Organizations

• Networked Leadership: Organizations are increasingly structured around digital communities rather than physical gatherings. Leadership must adapt to guide and empower teams that interact in virtual spaces. 
• Integral Over Functional Leadership: A shift is needed from purely functional leadership to system and culture-oriented leadership. Leaders should foster holistic thinking and encourage integral approaches that transcend traditional silos. 
• Gen Z Connection: Focusing on connections that span across generational divides and digital platforms, further supporting an inclusive and adaptive culture. 

3. Balancing Skills and Competencies

• Soft Skills and Digital Skills: Effective leadership requires a balance between empathy and digital fluency. These competencies may reside within a single leader or be distributed among a leadership team. 
• Guardians of Long-Term Vision: Leaders must safeguard the organization’s long-term vision, especially as short-term results may be limited in the context of rapid change. 
• Belief-Driven Leadership: The emphasis should be on inspiring belief in the vision and purpose of the organization, rather than solely managing performance. 
• Learning Culture: A culture of continuous learning is essential to keep pace with the advancements and implications of AI. 

4. New Leadership Roles and Structures

• CTO as a Key Leader: The Chief Technology Officer’s role is changing from supportive to leading organizational change, driving digital strategy at the highest level. The role may connect to or become a Chief Transformation Officer role (CTrO). 
• Matrix Leadership and System Thinking: As AI impacts processes across departments, leaders must adopt matrix structures and system thinking to optimize flows and collaboration. 
• External and Customer Focus: Leaders must stay attuned to new competitors targeting emerging needs and new generations, ensuring the organization remains relevant and responsive. 

5. From Hierarchies to Flexible, Empowered Teams

• Devolution of Decision-Making: Traditional hierarchical structures are giving way to more cross-functional, specialized teams. Decision-making is increasingly happening at lower organizational levels. 
• Flexible Team Structures: Teams are now formed based on skills and capabilities rather than rigid reporting lines, supporting agility and rapid response. 

6. Core Guiding Principles

• Embrace Curiosity: Leaders must remain open-minded and continuously seek to understand new technologies and their potential impacts. 
• Embrace Diversity: Diverse perspectives, expertise, and backgrounds are essential for sound, balanced decision-making in an AI-driven environment. 
• Balance Skills and Competencies: While not all leaders will possess advanced technical AI skills, it is crucial to develop the competencies needed to ask the right questions, challenge assumptions, and integrate AI into their thinking. 

Top 10 Action-Oriented Takeaways for a 21st Century Board and Leadership Team

1. Put AI and cybersecurity on the permanent board agenda. Make it a fixed item, not an annual discussion. Treat AI disruption, cyber-risk, and compliance with the AI Act as matters of strategy, not just operations. And don’t forget the opportunities. 

2. Integrate AI into the annual audit and risk cycle. Ask external auditors to assess AI use, risk, and compliance with the AI Act. Require assurance. 

3. Strengthen board education through continuous learning. Schedule learning sessions. Include hands-on workshops, ecosystem overviews, and scenario exercises. 

4. Review board composition through an AI lens. Assess whether the board has enough technological intuition and diversity of knowledge and perspective. If not, add advisors, observers, or targeted expertise. 

5. Map your ecosystem and update it twice a year. Identify the top 10 players shaping your future: suppliers, regulators, competitors, start-ups, universities. Identify who is moving fastest. 

6. Update leadership profiles and succession criteria. Ensure the CEO, CTO, and future successors can bridge both business and technology. Add this explicitly to job descriptions and evaluations. Consider a CTrO role. 

7. Embed system thinking into strategic oversight. Look across the whole organization rather than function by function. Ask for visual maps of data flows, processes, dependencies, and risks. 

8. Increase the cadence of board–executive interactions. Shorter feedback loops. More informal updates. Occasional deep dives. Consider a temporary technology or change committee. 

9. Build security in from the start. Ask management to demonstrate how cybersecurity, data governance, and responsible AI are embedded in every new system and process, not added later. 

10. Challenge the executive team. Examples:  

• How does our AI/digital strategy disrupt or refine our core business model over the next 3–5 years? 
• How are we preparing for emerging competition and ecosystem shifts, including start-ups, tech players, or new market entrants? 
• What cybersecurity and AI-specific risk controls do we have in place, and when was the last independent security audit or penetration test? 
• Are we compliant with the EU AI Act and other regulations, and have we classified all AI use cases by risk level? 
• What governance and training mechanisms ensure that our executive team stays technologically literate and aligned with long-term value creation? 
• How are we ensuring that AI is adopted responsibly, with ethics and human judgement at the core of our decisions? 

The session concluded that preparing organizations for AI is less about technology adoption and more about evolving the leadership mindset. Boards and executive teams must create cultures that value curiosity, inclusivity, and continuous learning, ensuring their organizations remain responsible, agile, and equipped for the challenges and opportunities of the AI era. 

About the Authors

Jan-Bart Smits is a Managing Partner at Stanton Chase Amsterdam. He began his career in executive search in 1990. At Stanton Chase, he has held several leadership roles, including Chair of the Board, Global Sector Leader for Technology, and Global Sector Leader for Professional Services. He currently serves as Stanton Chase’s Global Subsector Leader for the Semiconductor industry. He holds an M.Sc. in Astrophysics from Leiden University in the Netherlands.     

Dénelise L’Ecluse is Chair of the Advisory Board at AI4ALL and Knowledge & Experience Partner at Hemingway Professional Governance. She was previously Managing Director Europe at BSI Group (British Standards Institution), where she led the company’s strategic transformation across European markets. Earlier in her career, she spent nine years as Executive Director EMEA and ANZ at OCLC. Her work focuses on AI governance, ethical technology, and the future of leadership and decision-making in the boardroom. In 2023, she was named Woman of the Year by the Netherlands British Chamber of Commerce.