Board of directors are expected to provide direction and oversight over a wide range of business issues. To accomplish this they must be involved in productive work. This includes executing on their decision-making responsibilities, fulfilling committee assignments, and managing meetings effectively. It also involves analyzing existing practices and introducing innovative ways to improve the effectiveness of the board, efficiency, and productivity.
Meeting Attendance
Attending meetings regularly is a good indicator of the board’s dedication to good governance and, consequently, to the value creation work that the company depends on them to accomplish. It’s not enough. Nell Minow, a shareholder activist, points out that “the boards of many of our most admired corporations have poor or even nonexistent attendance records.” Some of the most prominent names on these boards rarely attend, and when they do show up they’re not always prepared.
Induction programs tailored to the needs of new directors help them quickly become familiar with their companies. Continuous education keeps board members updated on changes in law and industry that could impact their duties. A growing number of boards have embraced board initiatives that promote transparency and trust in order to make sound decisions and achieve strategic goals.
Some boards do not have the necessary skills or experience, so some choose to delegate part of their responsibilities to non-board members with specialized knowledge, experience, or knowledge to serve on committees. This allows a broader range of people to participate in the work of the board. It also provides busy professionals with the chance to contribute to an important cause that they are passionate about and also helps to develop azeus convene review talent to be able to fill board positions in the future.