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Peggy Foran: "Corporate Directors Have To Be Their Own Activists"
Episode 27
Published 5 years, 4 months ago
Description
- (1:35) - Start of interview
- (2:23) - Peggy's "origin story"
- (3:04) - Her experience at Notre Dame (BA and JD)
- (4:17) - Her progression from Wall St. law firm work to Mellon Bank, JP Morgan, Pfizer, Sara Lee and Prudential.
- (6:17) - Dennis Weatherstone (former CEO of JP Morgan) as a catalyst of #corpgov at the bank in the mid-90s.
- (7:00) - Her move to Pfizer, drawn by Terry Gallagher and Bill Steer focus on #corpgov (pre SOX 2002)
- (7:50) - The focus on governance in late 1990s - Peter Clapman at TIAA CREF and other institutional investors.
- (9:31) - On that first meeting of Pfizer's board leaders with institutional investors in 2007 (Marty Lipton referred to it as "another example of corporate governance run amuck").
- (10:51) - On the role of a Chief Governance Officer.
- (12:31) - Her transition to serving on boards (previously with the MONY Ground, MONY Life Insurance Company and Occidental Petroleum Corporation. Currently with the Orion Group Holdings).
- (16:36) - On the history and focus of Prudential Financial. "It's a company with a purpose, 146 years old, with an incredible partnership and commitment to Newark, NJ."
- (19:18) - Her take on the purpose of the corporation and the new BRT statement (2019). "It's nothing new, it was the same at Pfizer, it's a balance."
- (23:45) - Her take on b-corps, benefit corporations and public benefit corporations. "We just don't have a robust law and precedent, yet"
- (25:05) - Managing the "tone from the top" at the board level. "The culture is ingrained at Prudential."
- (28:00) - Her take on ESG. "I think it's always been there." Now it's just gone mainstream. On the environmental side, people like Tim Smith (Boston Trust Walden) and institutions such as CERES have been active for decades on these topics.
- (29:23) - On board diversity. "It's really more important to have broader diversity than just gender." This has gone mainstream too.
- (33:13) - Her take on climate change and sustainability.
- (35:07) - Her take on board education. "It depends: you need a tool box. For some boards it could be writing a memo, for other boards it's inviting outside expertise, and for others it's one of their own who has a specific background." More boards are adding experts in sustainability.
- (39:52) - Her thoughts on blockchain technology in corporate governance.
- (40:44) - Her recommendation to directors on shareholder activism. "You have to be your own activists." Duty to ask for questions, alternatives and seek long term value. "You're n