Boards are responsible for strategic oversight of a business, which includes its finances and risk and opportunity management. They also oversee succession of leadership, talent development, and corporate culture, all while creating and implementing policies that are based on the best interest of shareholders and other stakeholders.
Whatever the form of organization or its mission, all board members must meet three specific obligations:
1. The foundation of values and goals.
Board directors need to be able to understand and share the core values of their organization, whether that’s respect, compassion, or kindness. In the same way they must be able to demonstrate the values they hold in their actions and interactions with staff as well as others. In the wake of the pandemic, numerous companies have reaffirmed their values and made a commitment to their employees and their community that they’ll adhere to those values every day as they move forward.
2. Offer a platform to help the company expand.
If your goal is to expand into new markets or speed up growth, a well-rounded board with a variety of expertise can help. The presence of a member with sales experience can provide insight and perspectives on the revenue-generating side of a business. Likewise, someone with skills in fundraising may be able to draw investment capital.
During the selection and interview process, it is crucial to provide the new members of the board with a thorough training session. This will provide them with a precise description of their roles as well as responsibilities, allowing them to take on their new role with confidence.