For many years, technology was viewed as an operational function.

Boards quite reasonably delegated responsibility for information technology to management, focusing their own attention on strategy, finance, risk, legal matters and organisational performance. Technology was important, but it was largely seen as an enabler rather than a driver of business success.

That distinction no longer exists.

Artificial intelligence, cyber security, digital platforms, data infrastructure and connected supply chains have moved from the server room to the boardroom. They are no longer simply operational concerns. They are strategic assets that influence competitiveness, resilience, customer experience and long-term value creation.

As a result, technology has become a governance issue.

This theme was reinforced during the Australian Institute of Company Directors Australian Governance Summit, where discussions repeatedly returned to the pace at which technology is reshaping the operating environment for organisations.

One observation particularly stood out.

Less than ten per cent of company directors are estimated to have a technology background.

This is not a criticism of today’s boards.

Historically, it made perfect sense. Boards have been built around expertise in finance, law, governance, strategy and executive leadership because these disciplines have long formed the foundation of effective corporate oversight.

Those capabilities remain essential.

However, the context in which boards operate is changing.

Today, an organisation’s ability to compete increasingly depends on its digital capabilities, the quality of its data, the resilience of its cyber security, the effectiveness of its technology platforms and its capacity to adopt emerging technologies such as artificial intelligence.

These are no longer technical implementation issues.

They are strategic questions that influence investment decisions, organisational risk, customer trust and future growth.

That does not mean every director needs to become an engineer or technology specialist.

Good governance has never required every board member to be an expert in every discipline.

What it does require is sufficient literacy to ask informed questions.

How dependent is the organisation on its digital infrastructure?

Where are the greatest cyber risks?

Is the organisation using data effectively?

How is artificial intelligence creating value, and what new risks does it introduce?

Are technology investments aligned with long-term strategy?

These are governance questions every board should be capable of exploring.

At the same time, boards should consider whether their collective capability reflects the increasingly digital nature of the organisations they govern.

Just as boards benefit from directors with financial, legal or operational expertise, there will be growing value in including people who understand complex engineering systems, digital infrastructure, software, cyber security and emerging technologies.

Not because technology is fashionable.

But because it now underpins almost every aspect of organisational performance.

The most effective boards of the future are unlikely to replace traditional governance skills with technical expertise.

Instead, they will combine both.

Financial discipline, governance experience and strategic judgement will remain fundamental. Alongside these capabilities, boards will increasingly benefit from directors who understand how modern technology creates value, manages risk and enables organisational transformation.

Technology has become woven into the fabric of almost every organisation.

It has changed how businesses operate, how governments deliver services and how communities interact.

Governance must evolve accordingly.

The boards that thrive over the coming decade will not necessarily be those with the most technical expertise.

They will be those with the curiosity, diversity of perspective and collective capability to govern confidently in an increasingly digital world.