Boards of Directors are accountable for a myriad of tasks, ranging from financial http://www.boardroomnow.info/what-is-the-difference-between-oversight-and-management/ oversight to determining the best way to manage organizational resources. It is a position of high responsibility that requires dedication and commitment. It is vital that anyone considering joining the company’s board of directors is aware of what their job duties are prior to signing up to the position.
There are special boards that are in addition to the governing board, that focus on certain areas, like marketing, fundraising, community connections and brand awareness. These boards typically consist of comprised of internal and external directors who bring diverse perspectives and knowledge.
The most important aspect for any board member is to make sure that they meet their legal obligations, which can be broken into three broad categories:
Duty of Care
In this context, a board director’s legal responsibilities revolve around making decisions that are in the best interests of the company. They must also make sure that their decisions are in compliance with all applicable laws and regulations. This includes making them familiar with the legal documents that the organization has and also the board’s bylaws.
It is also crucial for the board of directors to actively promote their work and strive to create public relations that paint their organization in positive light. It should be easy for the most enthusiastic and dedicated members of the board to carry out this obligation, however it can be a challenge for those who aren’t as active.