The Importance of Board Meetings
Board Meetings are regular events where the leadership of the company meets with key stakeholders to discuss important business matters. It is crucial that the board of directors stays in contact and on the same page with each other especially during crucial times like an M&A or an imminent threat. A regular agenda and structure is helpful to ensure that meetings are focused on the most pressing business issues, rather than rehashing the same old news.
Discussion of the strategic direction of the company is the most important part of any board meeting. The board should review the company’s strategies, and then develop an action plan to promote progress. It is also helpful to discuss any challenges that the business may face and create a plan for how to address them.
Department or committee heads will typically provide reports to the board during this segment of the meeting. These reports can include milestones, financial data, KPIs, product roadmaps, progress and organizational performance. This section is typically used to discussing future strategies and assessing whether the company is on the right course to meet its objectives.
The board should then look over any issues that remain unresolved or new ones that require formal approval. Depending on the organization’s needs the board could vote on a variety of issues including changing the company’s articles of incorporation or incorporation, approving a specific transaction or ratifying an earlier decision of the Board. It is important to make sure that a majority of members are present for the vote.