The board of directors is the highest governing body in a business. The board of directors is why not try here the one that steers the decision-making process, and steers the organization towards its goals. The board of directors is made up of senior leaders who are appointed or elected by the members. The corporation’s constitution, bylaws and regulations from the government regulate the board of directors’ powers and duties.
An executive committee is smaller, more focused group that has close ties to the executive leadership. They can be able to meet at short notice to discuss urgent issues that affect the organization and then bring the issues to the attention of the entire board. The executive committee could have the same responsibilities as the board, based on the organisation’s structure and its bylaws.
Typically the executive committee is made up of the chairperson, vice-chairperson and treasurer of the board. The chairperson is also the spokesperson of the organization and ensures that all committee and board actions are in line with its mission. The executive committee is also an excellent option when an organization requires quick action to take on recurring issues or controversial ideas, as the group can be used to examine and approve questions prior to bringing them up to the full board.
It’s also important to ensure that the committee does not take on the decision-making power that according to the bylaws should be a part of the full board. An executive committee should have clearly defined outline of its charter, a clear method to delegate authority, and an internal system of checks and balances.