Training New Board Members – 5 Important Tips

Given the increased incidence of cybercrime and information technology violations in large companies, it can be assumed that the importance of technological security issues and risks associated with the applied technologies can be made.

The Most Effective Way of Training New Board Members

However, conceptually, the above authors are supporters of the theory of “human resource management” and consider organizational behavior precisely from the standpoint of this school. In general, it should be noted that the theory of organizational behavior in the past few decades has been understood much broader than just the direction of the school of behavioral sciences. Managing the behavior of people in an organization today involves a focus on human resources, efficiency, as well as a systematic and situational approach.

Thus, the training of new board members has gone through several key stages in its development and are currently represented by several concepts dominating in theory and practice: human resource management, human behavior management, human capital management, and systematic empiricism. The issues of personnel management have been and are being paid attention to by domestic scientists. Personnel management as a science in our country began to form approximately simultaneously with the emergence of Western schools of management. However, the paradigms of the school were different.

5 Important Tips of New Board Members Training

  1. Correlation of current issues and strategic issues on the agenda of the meetings. The board members, taking into account the existing structure of the company and the scale of the tasks facing it, must independently decide on the optimal balance of issues of operational and strategic activities. In the future, the board members must strictly adhere to the established standards, annually assess compliance with them, and, if necessary, revise them.
  2. Justification of the distribution of meetings between face-to-face and correspondence. Training for new board members recommends that most of the issues discussed by the Board be addressed in face-to-face meetings. This criterion should be assessed by comparing the actual practice of the board with previously established standards for holding meetings.
  3. Effectiveness of board member meetings. The level of preparation of the decisions made depends on the quality of the meetings of the Board of Directors. When assessing according to this criterion, it is necessary to pay attention to such indicators as the nature and atmosphere of the discussions (whether all members of the Board of Directors have the opportunity to express their point of view; whether the discussion is conducted in accordance with the regulations); whether the chairperson plays an active role in moderating the discussion; whether all discussions end with a decision by the Board of Directors.
  4. The quality of the work of the board’s staff and information support of the board work. Depending on the ability of the staff of the Board of Directors to properly prepare the meeting, to inform the participants about it in a timely manner, to receive from the management the necessary information (structured and relevant) to prepare the members of the Board of Directors, the quality of meetings and the validity of the decisions made depend. In addition, the apparatus of the board must base on the results of the meetings, provide each director with complete and detailed minutes of the meetings of the board, as well as annexes to these minutes containing the dissenting opinions of the members.
  5. Training new board members’ plans should take into account the company’s goals and objectives, which were approved at the beginning of the financial year.