Directors Quarterly: Q2 2026

As companies continue to face economic and geopolitical uncertainty, rapid technological change and disruption, and shifting workforce needs and expectations, leaders need to stay focused on disciplined decision-making. As we heard at our 2026 Board Leadership Conference, data and AI can augment, not replace, human judgment, and context, nuance and lived experience remain indispensable—especially in high-stakes business and board decisions.

In this edition, we explore ways directors can deepen their engagement in strategy, including how lead directors and independent chairs can help foster processes and practices that support constructive boardroom conversations.

Michael Mauboussin, head of Consilient Research for Counterpoint Global, a unit of Morgan Stanley Investment Management, shares his views of how boards and management can sharpen capital allocation decisions to drive long‑term value as investment shifts toward intangibles and AI.

As regulatory divergence accelerates across areas such as AI, cybersecurity, data privacy, climate, and trade, we discuss why boards should view that fragmentation as a strategic and governance challenge, not just a compliance issue.

For audit committees, we highlight financial reporting and auditing developments that companies should be monitoring, including the Supreme Court’s tariff ruling, evolving SEC priorities, and US and international sustainability reporting developments.