Shaping Tomorrow's Boardrooms: SEBI Chief's Strategic Insights

Tuhin Kanta Pandey, Chairman of the Securities and Exchange Board of India (SEBI), highlighted the necessity for Indian boardrooms to align with the rapid evolution of the financial markets. Speaking at the 2025 Annual Directors' Conclave organized by the Institute of Directors (IOD), Pandey pointed out that boardrooms are still stuck with outdated analog tools in an increasingly digital and decentralized environment.

Pandey argued that modern boardrooms require a cultural shift from mere compliance to instilling robust values and behavioral ethics. Governance today is about the underlying tone, and boards should engage actively with succession planning and cultural insights rather than solely focusing on executive compensation. He emphasized that addressing whistle-blower trends with curiosity, rather than defensiveness, is crucial.

The SEBI chief advocated for redefining the role of independent directors from honorary appointees to stewards of accountability. Furthermore, he emphasized the importance of embracing governance technology, urging boards to use real-time dashboards for better insights instead of being bogged down by extensive PDF reports. Pandey highlighted the need for cognitive diversity in boardrooms, not just demographic diversity, to make informed decisions during times of crisis, as this is when governance truly reveals its strength.

(With inputs from agencies.)