Board Meetings are frequently scheduled events where the leadership of the company gathers with key stakeholders to discuss critical business issues. It is essential that the board of directors stay in contact and on the same page with one another especially during crucial times like an M&A or an imminent threat. A regular agenda and structure can help to ensure that meetings are focused on the most pressing business issues rather than rehashing the same old news.
The most crucial part of a board meeting is the discussion of the organization’s strategic direction. The board should review the company’s plans and strategies and create a plan of action to ensure progress. It is also beneficial to work together on any challenges the company might face and formulate a plan on how to tackle them.
In this section of the meeting, the department heads or committee heads typically submit a report to the board. These reports might include milestones, financial results and KPI’s products roadmaps and their progress, and organizational performance. This section is usually devoted to discussing future strategies and evaluating whether the company is on the right path to reach its goals.
The board will then review any items that have not been resolved or that require formal approval. Depending on the organization the board may vote on a wide range of topics including changing the company’s articles of incorporation, authorizing certain transactions or ratifying a previous decision taken by the board. To vote on a topic it is crucial that a majority of the board members are present.
