Hiring trustworthy and reliable employees is one way to ensure the smooth operation of any business. However, that typically only guarantees the completion of day-to-day tasks. When the stakes are raised or the business itself is operating on the national or even global stage, then a board of directors, executives or trustees may be the group setting the tone of the company. Overall, such a board of elected or appointed officials are the ones overseeing company heads, signing off on budgets and other top-tier tasks that only those in charge of steering the organization could do. Working with such boards is far from a foreign concept for Todd Katz Quest Integrity, whose years of experience as a chief financial officer are complimented by other leadership roles in the financial sector. Below, we demystify the roles, rules and regulations surrounding boards of directors at every level of industry.
1) Who they are: Those appointed to the board of directors of any organization are the same people answering to the shareholders of said organization. Lose shareholders and you may lose critical funding as your stock shares plummet on the market. That’s a risky proposition, so great care and consideration must be made when making executive decisions.
2) What they do: With all of the above in mind, these directors are also the ones setting the tone of the company. That tone is essentially set by the decisions the directors make: What are our resources? What can we spend during the current fiscal year and remain profitable? What policies aren’t working and what are other businesses doing that we should consider doing ourselves?
3) How it affects you: For the general employee of any company that has a board of directors, you’ll certainly feel the effects of their acts eventually. That shouldn’t come as a concern, however. Directors, trustees, executives or a leader by any other name isn’t telling you what to do; they’re saying what the company needs to do to thrive. You shouldn’t expect your role to remain the same over the years, either, as the board adapts to industry shifts and it steers the company as it and shareholders see fit.