BOARD OF DIRECTORS

Importance
- Critical to the success of an organization
- Responsible for the success or demise of an organization
- Legally responsible to govern the organization
Main Functions
1. Governance
= Framework that controls the structure, operations, and decision-
making process of the board
2. Strategic Direction
= Help decide or at least inform how the organization works
= Help the organization address opportunities and potential threats
3. Accountability
= Legal responsibility of providing an oversight and accountability for an
organization
Responsibilities of the Board Chair
1. Primary role
= Lead the rest of the board and act as a direct liaison between the board
and management
2. Key roles
= Help the corporate secretary to write the agenda of top priorities and
facilitate board meetings efficiently
= Oversee board and executive committee meetings
= Empower the board to complete their duties
= Keep board members actively engaged
= Set the tone for board meetings
= Be willing to ask the CEO difficult and probing questions to best guide
the organization
= Work collaboratively with management to best steer the organization
= Act as an alternate spokesperson for the organization
= Coordinate and support the CEO’s annual performance evaluation
Responsibilities of Board Members
1. Attend all board and committee meetings and functions
2. Review agenda and supporting materials prior to board and committee
meetings
3. Be informed about the mission, services, policies, and programs of the
organization
4. Keep tabs on the organization’s industry including its competitors
References:
https://aprioboardportal.com/news/what-are-the-roles-and-
responsibilities-of-the-board-of-directors/?fbclid=IwAR2-
cIbh85ChNiqwWMv5uE3BFzUHG3ZIYh6fPc0_3gNEPnIU3IvZFBuamdM
https://www.bdc.ca/en/articles-tools/entrepreneur-toolkit/templates-
business-guides/glossary/board-of-directors#:~:text=A%20board%20of
%20directors%20is,day%2Dto%2Dday%20operations.
https://www.wallstreetmojo.com/board-of-directors/
https://www.investopedia.com/terms/b/boardofdirectors.asp#:~:text=The
%20board%20of%20directors%20typically,sometimes%20also%20covers
%20significant%20shareholders.
https://www.forbes.com/sites/bernietenenbaum/2016/07/23/is-it-worth-
having-a-board-of-directors/?sh=62e1a6255849
https://work.chron.com/qualifications-serve-board-directors-13812.html