What are the Different Types of Advisory Boards?

IN BRIEF

• Advisory boards vary by purpose—formal, informal, project-based, or corporatised—each supporting different business needs
• Best Practice Advisory Boards follow a structured charter with defined roles, outcomes, and governance
• Informal and project boards are more flexible, often short-term and goal-specific
• Advisory Boards within a Governance System are integrated into larger organisations for strategic support
• A clear charter and defined roles ensure alignment, value, and accountability

There are several popular models of advisory boards, each with its own characteristics. Each type of advisory board is useful for different situations within an organisation.

Advisory Boards for the Business Sector

A strategic advisory board has an independent Certified Chair, a Charter, structured meeting protocols and annual economic impact measurement. The most common composition is internal business representatives, an independent Chair and two external advisors chosen specifically for the priorities identified in the charter. The meeting schedule is often quarterly for the whole advisory board, with the Chair and primary business representative meeting more frequently.

Startups and smaller businesses may also adopt an informal advisory board. This type of advisory board is commonly used for businesses at a very early stage of growth or with significant time and resource constraints. These are often operated with a group of volunteer supporters with a very ad-hoc style discussion and no defined meeting structure. Informal advisory boards tend to operate for a short period of time and then are disbanded either due to lack of focus from the business or time availability of volunteers. This informal style isn’t considered best practice but can often lead to short term positive results, especially in start-up business stages.

Project Advisory Board

A project advisory board is formed for a specific purpose and period of time. The timeframes generally range between three and eighteen months and the sole focus is on a specific project or outcome. Market expansion, succession planning, restructures and many other situations may call for this shorter-term, highly focused arrangement.

Advisory Board within a Governance System

An advisory board within a governance system is found in organisations that have a well-articulated formal governance structure such as a board of directors. In a corporate environment, advisory boards provide a distinct, yet complementary, support structure for the executives and directors.

Corporatised advisory boards will often have a focused scope and clearly defined protocols to outline the advisory board operation as distinct from the board of directors. These boards are often used in multinational operations, stakeholder engagement and major initiatives.

Selecting the applicable advisory board strategy is crucial to the success of organisational goals and should be one of the first steps in establishing an advisory board.

Still have questions? Visit our Fundamentals or contact us directly.

How We Can Support

For Organisations:

We work with organisations and government bodies to enhance or establish your advisory board activities. Our Advisory+ team can guide you at every stage of the process, from scoping to implementation, facilitation, and evaluation. We also provide bespoke education programs, mentoring and shortlisting services to maximise your advisory structures.

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• Advisory Board Establishment & Structure
• Board Recruitment & Shortlisting
• Governance Reviews & Board Reviews

For Chairs and Advisors:

The Advisory Board Centre provides professional membership, executive education programs and credentials, market intelligence, advocacy and global connections to professionals who are currently engaged or aspiring to participate in formal advisory boards.

• Explore the Certified Chair Executive Program™ and professional membership