Board of Directors' Responsibilities

Board of directors is an elected committee functioning in an organization at the top level. It comprises appointed members overseeing activities of the organization. Board of directors are also known as board of managers or board of governors. It contains trustee, executives or governors. Their responsibilities are mainly concerned with exercising power to determine various policies of the company or organization. The tenure of the members is minimum three years, which is subject to renewal after consecutive terms.

Board of Directors Job Description
Board of directors job entails strategic planning, handling finances, review performance and successfully planning all important activities of an organization. The job involves immense responsibilities for smooth running of an organization. There are different procedures for electing board of directors. Normally he is elected by the shareholders. Top level executive jobs mostly deal with controlling the organization for its rapid progress. The job is described below in details.

Strategic Planning: The members of board determine the planning process in accordance with the mission of the organization. It plays a vital role in determining the strategies of the company.

Financial Responsibilities: The panel takes into account the financial stability of the organization. They monitor the budget of the company and its contribution to shareholders and donors.

Image of the Company: Since each member acts as an ambassador of the organization, their performance plays a key role to uphold the reputation of the company.

Review of Performance: The board is responsible to the executive director or organizational head. It prepares a performance review of the employees of the company and presents it before the head of the organization.

Election of Head: In case the top head of the company resigns or his tenure is over, the board of directors is responsible for electing a new head and finding out a suitable replacement.

Responsibilities of Board of Directors
The directors are instrumental in the growth of the company. The board is answerable to the company head regarding the performance of the company. The delegates have to determine everything associated with proper functioning of the company. The following points shall cover board of directors duties in complete detail.

• Attending monthly board meetings or seminars to determine the policies of the company. Decision making is one of the major attributes of the panel.
• Present view and provide input regarding the decision of the board as a whole.
• Evaluation of monthly financial reports and presenting them during annual or monthly meetings.
• Power to appoint membership officer after reviewing all membership job applications.
• Function with the management to develop long and short term planning activities. This includes employee needs, sound operational activities and credit union.
• Determine the annual appraisal of the manager taking into account the budget of the company. If you know the managing director job description, you shall find out how the board of directors control some of contributions to a company.
• Controlling appropriate investment on credit union funds and approval of borrowings of credit union funds through external source.
• Establishing the duties of manager and employing termination order with a justified case.
• Preserving credit union's record and books safely.
• Approving loans to directors, managers and committee members by exercising vote.
• Amendments to credit union are proposed by the board after legal proceedings and are then approved by the regulatory authority.
• Board members have the power to appoint special committees and task forces in order to improve administration of the organization.
• Right to appoint new members of the board and the supervisory committee.
• It has the right to disclose all conflicts regarding business dealings with credit union and then refrain from voting.
• The board also implements employee motivation policies to retain employees in the company.

Thus, the board of directors shoulder responsibilities that play an important role to uplift performance of the organization. Their responsibilities are in congruence with vision and mission of the company. This is achieved by joint effort of the members in supporting organizational needs. They advise, oversee, direct, promote and govern the objectives of the organization for its rapid progress and development.