Executive Committee Vs Board of Directors

An executive committee is made up of board members with close leadership ties who meet to discuss urgent issues that affect the organization. They make decisions on behalf of the full board and shape strategic direction. They also act as a bridge between the CEO and the board. Executive committees are the ideal solution for businesses that have a number of repetitive issues need immediate action on urgent issues or don’t wish to wait until the entire board can convene.

A good executive committee should include senior executives and other leaders from other committees. Typically, the chairperson of the board serves on the executive committee too. They should be the primary person on the agenda of the committee and ensure that all committee and board activities coincide with the goals of the company. This person is also the spokesperson for the board and will also appoint committee chairpersons. The number of members of the executive committee will differ from one organization to the next organization. However, the bylaws of the board should clearly state who is part of the committee. According to research, a committee with seven members is the best size for optimal decision-making.

The executive committee is responsible for establishing governance practices, making high-level strategic decisions and giving oversight to management. They also have responsibility for the education and development of board members. Based on the size of the group, the committee may meet monthly, quarterly, or as needed basis.

While an executive committee may be a beneficial tool for many nonprofits and organizations but it’s not a solution that is suitable for all. There may not be a need for an executive committee if your board is small or if you have a board of directors that work well without one.

www.boardroomsupply.com/executive-committee-vs-board-of-directors/