Board Meeting Facts:
Contrary, the board of directors of your company does not make the majority of decisions for your company. Although they are able to make decisions in some high-impact areas (in the case of a venture-backed business the majority of these decisions are outlined in the investment and governing documents) most important issues are taken up by committees or the management team, with the input of the board.
Board meetings are usually focused on planning, policy, and oversight functions and not business operations. The decisions made by an executive board can have a significant impact on the business. This is why it’s important to design and run board meetings for constructive discussions and outcomes.
To ensure that the board is informed, it’s crucial to ensure all members are informed. Distribute the materials to board members in advance so that attendees can familiarize with the materials prior to the meeting. Ideally the documents should be concise and clear enough that they won’t take more than an hour to review.
Then, plan a time for the board to discuss. It is possible to allow attendees to ask questions or offer brief comments in an open forum. Also, schedule time for presentations from external stakeholders. Additionally, you should set aside time to have a consent agenda- a section of the meeting in which routine or non-controversial topics can be approved through a simple motion and vote.
Finally, make clear the process of making decisions during board meetings. Make a decision on whether you want to come to a consensus, or use an official voting procedure, and establish specific criteria for evaluating the new ideas. This will help everyone recognize their role in the process, as well as the potential consequences of a decision-making process that has gone wrong.
