As the past several years have demonstrated, when a business today faces a crisis or erosion in performance, the board’s action — or inaction — is in the spotlight as never before. Stakeholders and outside observers are looking for answers, or parties to blame, and often assume a deep level of board involvement in the company and knowledge of its inner workings that may be well beyond the board’s actual capacity.
But it’s not just outsiders who can lack a clear view about the precise role of the board. As the board’s agenda has expanded and expectations on boards have grown, directors themselves have some fundamental questions about the board’s role in far-reaching, complex areas like strategy, succession planning and risk, as well as emerging areas such as the environment and corporate social responsibility. Yet rarely do boards and management teams have a frank discussion about how expectations have changed and how the board’s responsibilities have or should evolve.
See full Press Release: http://www.spencerstuart.com/research/articles/1562/
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