Board Meeting Facts
Board Meeting Information
Contrary to popular belief the board of directors don’t make the majority of the decisions for your company. Although they may have authority in a few areas of significant importance (in a venture backed company they are typically outlined in the governing documents as well as investment documents) The majority of the important issues are decided by committees or by the CEO/management with the help of the Board.
Board meetings tend to focus on policy, planning and oversight rather than business activities. However, the decisions of a board can have a profound impact on a business. This is why it’s vital to design and organize board meetings that allow for constructive discussions and results.
The first step is to make sure that all board members are well-informed. In order to facilitate productive discussions make sure to distribute the board’s materials in advance to allow attendees to familiarize themselves with them before the meeting. Ideally the documents should be clear and concise enough that they don’t need more than an hour to go through.
Next, allocate time for discussion at the board. It is possible to allow attendees to ask questions or make brief remarks in a public forum. Also, plan time for presentations by external stakeholders. Schedule time for the consent agenda – one section where routine or noncontroversial subjects can be approved by a simple vote and motion.
Finally, during board meetings and board meetings, you should explain the procedure for making decisions. Decide if the purpose is to achieve consensus or if a formal boardroomideas.info/boardmaps-pricing-plan voting procedure is required and set clear criteria for evaluating the ideas. This will enable everyone to understand their role and the possible consequences of a wrong decision.
