The Role of Boards
What boards should and should NOT do
The roles and responsibilities of boards are often spoken about in the same hushed tones as the Illuminati. To most employees below the C-level, boards are shrouded in mystery, referenced with hand waves as shadowy figures pulling levers—kind of like the Wizard of Oz.
Today’s post is the grand finale of our three-part series on making the most of your board meetings. What better way to wrap it up than by breaking down what boards actually should and shouldn’t do?
Think of this as your “Ten Commandments” for boards—except there are 14. Why? Because this is my newsletter, and I’m not bound by arbitrary numbers. (Mount Rushmore has four heads. Why not three? Or five? Ridiculous.)
What Boards Should Do
Biz Dev: Find Me Customers
Recruiting: Find Me (Great) Employees
Pattern Recognition: Souvenirs from Past Rodeos
Encourage Decisions: Push Them into a Cul De Sac
Set the Guardrails: Approve the Operating Plan
Pay Me: Compensate Execs
Spot the Exit Ramp: Validate Valuations
What Boards Should NOT Do
Operate: Hands off the wheel
Snoop: Hire babysitters for the CEO
Solicit Bids: Try to sell the company
Show up unprepared: Derail meetings
Nepotism: Force you to hire anyone
Be Unreachable: The 24 hour rule
Eat First: Company > Share Class