By Y. Argüden
Concentrating on the constitution, strategies, and behaviors for a board of administrators to make sure solid governance, this e-book examines the behavioral elements of governance comparable to the best way to assessment and procedure details supplied to the board, how you can seriously query with no de-motivating and the way to supply tips with out interfering with administration.
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Additional resources for Boardroom Secrets: Corporate Governance for Quality of Life
Reputational risks Companies are evaluated not only according to their financial results but also according to their adherence to legal requirements and ethical expectations. Therefore, having an adequate internal control system is important. The establishment of a continuous monitoring system, and systematic review by an internal audit department that has direct access to the board, are important. Also, having a dependable whistle blowing process is useful in identifying potential risks of fraud.
Team building They are skillful in identifying, choosing, developing and motivating team members; have a track record of being able to work with those more skilled than themselves; are able to manage the differences within their team; are able to make the necessary investments to ensure the development of the people around them; and can lead by example. Experience and knowledge They are respected by the players in the value chain and stakeholders in the company, and understand their concerns. “RIGHT PERSON” – SUMMARY The quality of a board depends on the quality of its members, its structure, and its processes.
However, if the members’ ability to work together and to complement each other’s skills is not taken into explicit account, one may end up with a malfunctioning board. Building successful teams is an important entrepreneurial skill. Such a skill needs to be employed in forming the board as well. Any team needs the full commitment of each member to be successful. A board also needs the motivation, participation, and responsibility of each member to be successful. Requirements for the Creation of a Successful Board A complete level of mutual respect, trust, and candor must be attained between all board members.