The Board Company Governance Function
The aboard corporate governance role should be to ensure that a great company operates legitimately and in the interests of its investors and other stakeholders. It does this by working independently of company operations and focusing on real picture issues instead of day-to-day procedures. Boards are responsible for creating policies, making significant decisions, and overseeing the organization’s activity. They should also be able to determine which tasks they must perform themselves and which should more properly end up being devolved to senior managers. To facilitate this, many panels devise a schedule of reserved powers and give responsibilities to their chair, who is often a non-executive director (though that is not always the case). A solid board is created by a mix of skills, individuality, and experience, and should involve directors…