Earlier this year, we asked board directors and CEOs in markets around the world about the importance of leading and governing across boundaries—both familiar internal boundaries, such as business units and functions, and boundaries created by competing and sometimes deeply held personal values of employees, customers, and other stakeholders. This kind of leadership is not new to corporate executives, of course. They have long needed to balance across internal divisions—finance versus sales, business unit versus enterprise priorities, global versus local needs. Indeed, the promise of job security, financial rewards, and, for some, wealth creation has often motivated employers and employees alike to find ways to set aside political, social, and personal differences in pursuit of common goals. Business leaders have also generally heeded calls to play roles in meeting societal needs such as wars, economic recessions and depressions, or pandemics, crossing boundaries of competition or nationality to do so.

Today, in our fractured and hyperconnected world, expectations for business leaders are higher than ever¹ and divides are harder to bridge. Yet two-thirds of the directors and CEOs we surveyed say that being able to do so is foundational to meeting their strategic goals.

Lasting success in any attempt to lead across boundaries tends to require what we have come to call “arenas”: trusted spaces where people can express their differences and agree on how to move toward an outcome not all will agree with but everyone will respect. Business arenas, from board meetings to open town halls to informal gatherings, are far less heralded than sports or political arenas but are at least equally important. The reasons the directors and CEOs we surveyed see leading across boundaries as foundational to meeting their strategic goals, and the ways they are trying to do so, suggest considerations for all leaders today.

View the PDF of the report to explore the reasons.

About the authors

Jeremy Hanson (jhanson@heidrick.com) is a partner in the global CEO & Board of Directors Practice and chair of the Heidrick & Struggles Center for Leadership Assurance. He is based in the Chicago office.

Jonathan McBride (jmcbride@heidrick.com) is the global managing partner of the Inclusive Leadership Practice. He is based in the Los Angeles office.

Reference

¹ 2025 Edelman Trust Barometer, Edelman, 2025, edelman.com.