Women who Rule

Divya Momaya and Neha Shah, co-founders of MentorMyBoard (MMB), have taken it upon themselves to make a significant impact by creating an ecosystem of good governance and directors, through their venture. Leveraging their extensive experience and knowledge, these dynamic women leaders have built a unique B2B2C governance tech platform. This platform provides access to a diverse community of board leaders known as the Circle of Directors, fostering collaboration and shared expertise among mentors, industry experts, and like-minded aspirants. In a candid interview with Corporate Citizen, Divya and Neha, share their insights on corporate governance, tips for boardroom mastery, the benefits of gender diversity in boardrooms, challenges faced by new directors, and more

Corporate Citizen: Give our readers a brief background of yourselves.

Divya Momaya: I come from a very small town called Malegaon in Nashik, Maharashtra. Although the town is small, it did not restrict my will to dream big. Education was of utmost importance to me, so I completed my graduation in Pune and management training in Nagpur. I have also pursued degrees in Independent Directorship, Corporate Governance, FCS (Fellow Company Secretary), CSR (Corporate Social Responsibility), and many others. These qualifications have significantly contributed to my successful career. I have been a Company Secretary (CS) for 21 years. After my marriage, I moved to Mumbai, where my corporate career started, and now we live in Thane.

I have two daughters Abhiti and Dhriti, a supportive husband Sameer, and a wonderful mother-in-law Vibhavari, all of whom motivate me. I am grateful to have worked with some of the leading names in the industry. Through hard work and dedication, I rose through the ranks by working with prestigious companies such as the BSEL, Bombay Stock Exchange and others. These experiences provided me with invaluable insights and skills, which eventually empowered me to start my venture. Noticing a lack of awareness about compliance among directors, I co-founded MentorMyBoard (MMB) Advisors Pvt. Ltd with my colleague and sister-in-law Neha.

Neha Shah: I was born and brought up in Thane, Mumbai. Education has been fundamental to my career success. I completed my postpraduate diploma in human resource management (PGDHRM) from the Welingkar Institute of Management and my bachelor of commerce (B.Com) from KJ Somaiya College of Arts and Commerce. This strong educational foundation has enabled me to achieve my professional goals and advance in my career. It has allowed me to flourish in corporate HR, leading me to work with companies like Kotak Life Insurance and Future Group. After a sabbatical, I transitioned to compliance, handling property search documents, and filing of Annual Returns for Limited liability partnership’s (LLP’s) and Private Limited companies for nine years. My journey then took another turn as I became a director at MMB. I got certified to be an Independent Director and on the Board of companies. Today, I am actively involved in strategic decision-making and contributing to the growth of MMB.

"Women, with their empathetic leadership style, offer diverse perspectives to decision-making, thereby aiding in striking a balance between growth objectives and ethical considerations"

-Divya Momaya, cofounder, MMB

CC: Do you believe that the city in which you are born shapes your potential for achieving maximum success?

Neha Shah: It's not just the city, but the people around you that push you to achieve the best. This includes your family, friends, and everyone you encounter. After getting married, I've lived in various cities – Ahmedabad, Bengaluru, Nashik, Mumbai, Gurugram, and now back in Mumbai. Each relocation has provided me with unique experiences and lessons from the people I've met. These experiences have made me stronger and taught me many things I never expected to learn. This openness helps you shape yourself.

Divya Momaya: Coming from Malegaon, where opportunities were scarce, I've often been asked why individuals from outside Mumbai tend to excel in the city. This resonates deeply with me because people from smaller towns value opportunities differently. When people from such towns move to major cities like Mumbai or Delhi, they appreciate the abundance of opportunities and are driven by a stronger desire to succeed. Compared to those from more privileged backgrounds, individuals from smaller towns often have a greater hunger to prove themselves and grow. Personally, originating from a small city instilled in me a profound drive to create and succeed. Therefore, I feel cities offer a platform for individuals to channel their hunger for exploration and growth.

CC:What's the best piece of corporate advice you have ever received?

Divya Momaya: My first boss advised me that the moment I get a chance, I should invest in buying a house. This advice, ‘A0void staying in a rented house’, granted me a lot of freedom. Another professional tip from one of my mentors was, ‘To believe in yourself, and the world will follow’. I strongly believe in this principle—without self-belief, one cannot progress. This mindset has been instrumental in keeping me motivated and driven.

Neha Shah: One invaluable piece of advice from my mentors was to prioritise innovation and be an irreplaceable innovator in my field. I've embraced this philosophy throughout my career journey, transitioning from corporate life to entrepreneurship. When offered a directorship by Divya, despite the initial hesitation due to unfamiliarity with the role, I saw it as a challenge to overcome. Pursuing the necessary qualifications, such as clearing the Indian Institute of Corporate Affairs examination, became a personal challenge that I successfully conquered. This resilience and commitment to learning and innovation have been ingrained in my DNA, propelling me forward in every endeavour.

"It’s crucial for new directors to actively contribute value, even if they bring an external perspective. Often, independent directors are chosen from friends and family, which might not be beneficial"

-Divya Momaya

CC: What was your motive for starting MentorMyBoard? How does MMB’s Circle of Directors facilitate boardroom mastery for new and independent directors?

Neha Shah: The motive behind starting MMB was to address the lack of formal board education for directors, particularly new and independent ones, to prevent situations like disqualifications and company strikes due to non-compliance. The Boardroom Mastery programme focuses on promoting directors by addressing the lack of high-level training sessions for board leaders. It emphasises a top-down approach to ensure that the culture set at the top is right and agile. The programme includes tailored training, a top-down approach, integrity, innovation, customer focus, and other aspects of corporate values.

Here's how MMB’s Circle of Directors facilitates boardroom mastery:

Fill the educational gap: Recognising the absence of formal board education, MMB offers a platform for directors to learn fundamental aspects of governance.

Flexible learning: Directors can access learning materials at their own pace, allowing for convenient and personalised education through the integrated LMS on the platform.

Peer learning: The platform fosters a community where directors can interact and learn from each other, leveraging collective experiences and insights.

Practical Knowledge: By providing knowledge on compliance and governance basics, MMB equips directors with essential skills to navigate boardroom challenges.

CC: How do you define good corporate governance in simple terms?

Divya Momaya: In simple terms, good corporate governance is like being a responsible citizen, but for a company. Just as a good citizen follows the laws, pays taxes on time, and is considerate towards others, a company must follow rules and regulations, adhere to the laws and guidelines set by authorities like Securities and Exchange Board of India (SEBI) for the listed companies or the Ministry of Corporate Affairs for private and public ones, pay taxes and ensure timely and accurate tax payments, be empathic and responsible, be considerate towards employees, customers, vendors, and all stakeholders. If a company follows all these things, it is practicing good corporate governance.

"The motive behind starting MMB was to address the lack of formal board education for directors, particularly new and independent ones, to prevent situations like disqualifications and company strikes due to non-compliance"

-Neha Shah, cofounder, MMB

CC: Can you discuss a notable example where a company's commitment to good corporate governance positively impacted its reputation and financial performance?

Divya Momaya: A well-known company’s promoter underwent the Boardroom Mastery programme with us. This significantly broadened his vision and added substantial value to his knowledge. Within six to eight months, he got his company listed on the SME platform due to this enhanced mindset. MMB helped him curate his board with three independent directors. Previously working alone as a solopreneur, the promoter now had access to collective wisdom and thought leadership. He felt confident that all decisions made in the best interest of stakeholders would be evaluated and vetted by his board of directors. Since its listing, the company has seen a fourfold growth in market capitalisation. This success story highlights the impact of having a competent and credible board. At the Independent Directors' Summit, hosted by MMB last year, it was quoted by Dr Kiran Bedi, who is known as Governance Evangelist herself, that a business is known by the quality of its board, underscoring the importance of good corporate governance.

CC: Mention one of the top effective strategies or resources that new directors can utilise to enhance their understanding of boardroom dynamics and governance principles.

Divya Momaya: Corporate governance is evolving rapidly, especially since the introduction of the Companies Act 2013. The roles of independent directors, promoters, and founders have been clearly defined, but many new directors, including those from startups, may not fully understand their responsibilities.

It’s crucial for new directors to actively contribute value, even if they bring an external perspective. Often, independent directors are chosen from friends and family, which might not be beneficial. Promoters should curate their boards based on skill set gaps that can move the company forward. Independent directors should be allowed to voice their insights, which are vital for effective governance. Recent SEBI orders have highlighted lapses in corporate governance, underscoring the need for a shift in mindset among founders towards effective governance. The strategy here should be to pick the right candidate who can take your organisation forward.

Neha Shah: New directors, especially those from startups, often lack knowledge of their roles and responsibilities towards corporate governance. They rely heavily on professionals like CAs and CSs for guidance. Platforms like MMB are essential as they educate new directors about their roles and how to perform them effectively. Understanding these roles is critical, as seen in governance failures in some startups, such as BYJU’s. Proper governance structures and defined roles are fundamental for the success and scaling of new ventures. The ex- SEBI Chairman Ajay Tyagi, as a Chief Guest in Independent Directors Summit 2023, said that it is extremely important for startups to improve corporate governance practices. This is needed to maintain credibility and for India’s aspiration to become a startup nation, to turn into reality.

"Women, with their empathetic leadership style, offer diverse perspectives to decision-making, thereby aiding in striking a balance between growth objectives and ethical considerations"

-Divya Momaya

CC: Because you deal with a lot of board leaders, the Circle of Directors and other senior leaders, walk us through some of the crucial challenges they face.

Neha Shah: At their level, the first and foremost challenge is getting savvy with new technologies, especially AI interventions. Staying updated on technology is a significant risk. Another major challenge is data protection and understanding cybersecurity laws. While these leaders have extensive knowledge and experience, they must adapt to the fast-changing business environment. Staying agile and keeping pace with market changes, industry trends and international laws impacting new-age businesses are crucial.

CC: In your opinion, what are the key advantages of having more women board members, and how does MMB advocate for greater gender diversity in corporate leadership?

Divya Momaya: The benefits of having more women on boards have been extensively documented, with numerous studies and reports indicating its positive impact on company performance. This was underscored by Nirmala Sitharaman, India’s Finance Minister, at the Women Directors Conclave 2022, hosted by MMB. An important aspect to consider is that the contemporary emphasis on growth often eclipses the importance of good corporate governance. Women, with their empathetic leadership style, offer diverse perspectives to decision-making, thereby aiding in striking a balance between growth objectives and ethical considerations. Additionally, women are recognised for their multitasking abilities and unique problem-solving approaches, which serve as invaluable assets in boardroom settings.

Long way to go: Nevertheless, the concept of women directors in India is relatively nascent, and many women encounter barriers to accessing boardrooms due to rooted male-dominated networking practices. When the Companies Act was introduced, only 7 per cent of board positions were occupied by women. Although this figure has since risen to 19.7 per cent, there remains a significant gap to bridge. To address this disparity, it is imperative for women to recognise their capabilities and overcome self-doubt regarding their suitability for board roles. MMB plays a crucial role in this endeavour through initiatives such as Women on Management and Boards (WOMB) Programme, inaugurated by our Finance Minister. This programme offers mentoring from diverse experts over three months, aimed at encouraging confidence and refining the requisite skills for effective board participation. MMB is also committed to propelling women into management and leadership positions, beyond merely securing board seats, to foster a more comprehensive gender diversity within corporate leadership.

"Platforms like MMB are essential as they educate new directors about their roles and how to perform them effectively. Proper governance structures and defined roles are fundamental for the success and scaling of new ventures"

-Neha Shah

CC: You both are sisters-in-law. Many people advise against engaging in business with family members. But here you are, acing this. How do you manage this relationship both at home and in the workplace? Moreover, how do you handle disagreements when they arise?

Divya Momaya: I’d like to say that we are co-sisters. At work, we have our designations as founder and co-founder, but the moment we enter our homes, we are a family, and there is no conflict. In fact, being sisters makes it easier to trust and support each other, and to agree to disagree. Beyond this relationship, we also share the roles of mentor and mentee. As a mentor, I have seen Neha evolve into an amazing leader who trusts my advice and guidance.

Most importantly, we don't feel the need to disclose our familial relationship to business associates unless someone asks, keeping our relationship professional at all times. This ensures no one is uncomfortable working with us in a family business setting. When making decisions, we ensure that we keep each other in the loop and maintain clear and transparent communication. Trust is our biggest connecting link, and we share a common vision of making MMB the best platform for board leaders and corporate boardrooms.

CC: In April 2024, you both achieved a remarkable milestone by conquering the Annapurna Base Camp. We'd love to hear about the insights you gained during this expedition. What parallels did you draw in the entrepreneurial journey from this feat?

Neha Shah: So, the Annapurna Base Camp trek was an incredible journey for me. Every moment of climbing, reaching the summit, and trekking to the basecamp was unforgettable. I saw how each moment in life, whether it's on a mountain or in my corporate career, shapes and nurtures us, helping us grow. It was something, I had planned for a long time because I enjoy adventure and innovation. Despite facing challenges like snowy terrain and fatigue, the collective effort and support from everyone kept us motivated and helped us reach our goal. This resilience is something I see reflected in both adventure and corporate journeys. Also, enjoying the journey is much more important than conquering or achieving the end goal.

Divya Momaya: My biggest lesson from the trek was understanding the importance of taking care of your health. Even though I had trained physically for two months, I realised that good health is crucial for success, whether in climbing mountains or running a business. Mental fitness is just as important as physical fitness. Another lesson was the value of slowing down sometimes. During our 12-day trek, we took a break from our offices, yet everything ran smoothly. Taking time off allows for a fresh perspective and new ideas, which are vital for personal and professional growth.

CC: Outside work, what personal habits or practices do you indulge in that you feel have played a key role in boosting your business brilliance?

Neha Shah: One habit that I find immensely beneficial for both my well-being and my business is practicing yoga. While I admit, I don't do it as regularly as I should, incorporating yoga into my routine helps me mentally unwind and maintain energy levels. Additionally, I make a conscious effort to stay connected with friends from various cities where I've resided. Engaging with them allows for stimulating exchanges of ideas, often yielding fresh perspectives that I can seamlessly integrate into my business practices. This practice serves as a form of self-care, aiding in preventing burnout while simultaneously keeping me grounded and inspired through meaningful connections.

Divya Momaya: I find spending quality time with my family, especially my daughters, incredibly fulfilling. Whether it's a short drive or a chat, those moments of connection are priceless. Another habit we've developed, thanks to Covid-19, is playing a strategic game called ‘Sequence’ with my husband and mother-in-law. We've been playing it every night for almost three years now, and it's not only fun but also honed our strategic thinking skills, which have proven invaluable in navigating business challenges.

CC: What advice would you give to aspiring leaders looking to enhance their readiness for boardroom roles, based on your own experiences and insights?

Divya Momaya: When it comes to advice for the boardroom, my top tip is to always come prepared, contribute effectively, and do your homework thoroughly. It's crucial to make your voice heard and be proactive about your role and responsibilities as a director. Being concise and impactful in your communication is the key, as it ensures your presence is felt and valued.

Neha Shah: Directors need to stay updated with industry trends, especially with the rapid advancements in technologies like AI. It's essential to continuously upskill yourself and have a strong understanding of the basics of directorship. And for women leaders and entrepreneurs, my advice is simple: never give up. Don't abandon your professional journey for family responsibilities, as it can set you back significantly in the long run. Even if progress is slow, keep moving forward steadily, because staying in the race is what truly matters.