Who does what, and why, are questions whose answers are fundamental to the success of corporations. The appropriate delegation of authorities and effective division of powers is of particular importance at the top of a corporation, among the members of the governance team: the board of directors, executives and shareholders.
Document Highlights
This research seeks to assist corporate leaders in understanding and fulfilling their different roles, responsibilities and relationships.
Broadly speaking:
- the shareholder’s role is to provide purpose and capital;
- management is responsible for the day-to-day operations of the corporation; and
- the board of directors is the link between owners and specialists: it represents shareholders to manager, and managers to shareholders.
