{"id":6012,"date":"2022-04-21T17:17:36","date_gmt":"2022-04-21T17:17:36","guid":{"rendered":"https:\/\/www.scionstaffing.com\/scionexecutivestaffing\/?p=6012"},"modified":"2022-04-21T17:17:36","modified_gmt":"2022-04-21T17:17:36","slug":"board-of-directors","status":"publish","type":"post","link":"https:\/\/scionexecutivesearch.com\/board-of-directors\/","title":{"rendered":"Who Are The Board of Directors and Why Are They Important?"},"content":{"rendered":"

Most times, large organizations and corporations will have an established <\/span>board of directors to help assess their business and establish successful growth. As an Executive Search Firm, Scion Executive spends <\/span>countless hours <\/span>working with the board of directors <\/span>to ensure a successful match for their organization<\/span>\u2019<\/span>s <\/span>new leader. <\/span>We\u2019re sharing the who and why a board of directors is important to an organization\u2019s success!<\/span><\/p>\n

What is the Board of Directors?<\/span><\/h2>\n

A board of directors is essentially <\/span>a <\/span>panel of <\/span>individuals <\/span>who are elected to represent shareholders. Every <\/span>public company <\/span>is <\/span>required by law <\/span>to install a board of directors; nonprofit organizations and many private companies \u2013 while not required to \u2013 also name a board of directors.<\/span> An executive board is responsible for the oversight of the <\/span>corporation <\/span>or organization, protecting shareholders\u2019 interests, establishing policies, as well as making decisions about important issues <\/span>that <\/span>a company or organization <\/span>may face including policies or an employee.<\/span><\/p>\n

Role of the Board Directors<\/span><\/h3>\n

The primary function<\/a> of a board of directors is to act in the best interest of the corporation or organization. The board has three main responsibilities: 1) ensuring that all corporate activities are carried out according to state laws and regulations, 2) setting high standards for ethical behavior, and 3) providing strategic direction to the management team. The board of directors exists for two purposes: one, to oversee and direct the affairs of the corporation or organization, and second, to protect shareholders from any potential harm caused by the actions of management. If you\u2019ve ever been frustrated by executives behaving outside of ethics, it\u2019s time to look at your board of directors. It may be time to consider replacing them.<\/p>\n

What to look for when recruiting a board member<\/h2>\n

There are a few important keys to remember when recruiting for your board positions. You\u2019ll want your members to have one or more of the following: <\/span><\/p>\n