An executive committee is made up of board members with close leadership connections who meet to discuss urgent concerns that affect the company. They make decisions for the entire board and set the strategic direction. They also serve as a bridge between the CEO and the board. An executive committee is beneficial for companies with a lot of frequent issues, require urgent action on important matters or don’t wish to wait until the entire board meets.
An effective executive committee should include top executives as well as leaders of other committees. The Chairperson of the Board is typically also an executive committee. They should be responsible for the agenda of the committee and ensure that all board and committee actions are in line with company’s goals. The person who is appointed will also select committee chairs and serve as the spokesperson for the board. The number of people on the executive committee will vary from one organization to the More hints next. The bylaws of the board should clearly define who is members of this committee. Research suggests that a seven-member committee is the best size for optimal decision making.
The executive committee is accountable for establishing governance policies as well as making strategic decisions at the highest level and providing supervision to management. They also take the responsibility for training of board members and development. Depending on the size, the committee may meet on a monthly and quarterly or as needed basis.
While an executive board is a great tool for many nonprofits, it’s definitely not an all-encompassing way to govern board members. You may not need an executive committee for a board that is small or you have an existing board of directors that do well without one.