Members of the CBI have backed its renewal plan at an extraordinary general meeting called to decide the fate of the business lobby group.
Ninety-three per cent of votes that were cast supported its plans for reform, while 7% rejected it. A total of 371 votes were cast, with 23 abstentions or votes withheld.
Members were asked to vote on whether the changes the CBI has made, and commitments to reform its governance, culture and purpose, have given them the confidence needed to support the organisation.
Last week, CBI director general Rain Newton-Smith, announced an ambitious “programme of change” aimed at turning around the organisation, which has seen several members including Aviva and BP leave. These former members were not eligible to vote.
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The CBI has also accepted all 34 recommendations made by law firm Fox Williams, and has recruited interim chief people officer Elizabeth Wallace.
Newton-Smith welcomed the result. She said: “After an incredibly tough period, I’m deeply grateful for the faith shown in us by our members.
“We’ve made real progress in implementing the top-to-bottom programme of change promised by the board and, while there remains work to do, today’s result represents an important milestone on that journey.
“Even an organisation as established as the CBI is only as strong as its members. That support is something we have never taken for granted. We will work tirelessly to repay the faith shown in us and are committed to living the values and changes we have proposed.
“Let me be clear, we have listened, we have acted, and we will leave no stone unturned to be the best voice for business inside and out.
“We also heard another important message from members. That they want us to bring our breadth and depth of expertise, as well as our unique convening power, to bear on the economic challenges of the day.”
Ann Francke, CEO of the Chartered Management Institute, commented: “While the CBI has won some much-needed breathing space, the difficult challenge of cultural transformation still lies ahead.
“Committees and consultants don’t transform organisations; leaders and managers do, through what they say and what they do each and every day.
“Both businesses and government will now want to see clear evidence that the CBI is delivering on its promise to change. A mandate from the members is not enough, on its own, for the CBI to believe it can draw a line under the management failures that led to the events of the last six months and move on.
“Leaders at all organisations should view this sorry episode at one of the country’s most high-profile bodies as a chance to learn from the mistakes of others and ask themselves if they need to revisit their own workplace to make sure they are getting their culture right.
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“We wish the new team at CBI well as they embark on their ambitious transformation of building an inclusive and transparent leadership culture.”
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