Governance & Management
What is the difference between executive and non-executive directors?
Most executive directors are employees of the company. Non-executive directors are not involved in the day-to-day running of the business. They are not employees of the company.
An extension of the basic quadrant of board processes recognizes an important detail by introducing a central cell showing that boards work with _____.
management through their chief executives or managing directors
Which different board structures can we distinguish?
One-tier & Two-tier
How could a stakeholder board in a hospital look like? Name at least 3 possible board member.
medical staff, administrators, funding bodies, patients or the local community
An executive of a company reiteres. Five years later, he is asked to join the board. What kind of a director would he become?
A connected non-executive director (CNED)
What are the four basic board responsibilities?
policy-making; supervision of executive management; and accountability to shareholdersand others
What are the advantages of a two-tier board over a one-tier board structure?
A two-tier structure provides board independence and better defines the job duties of each member instead of everyone having shared duties
A large venture capital firm invests €10 million into a tech startup. The firm requires that one of its senior partners be appointed to the board of directors to oversee strategic decisions.
Which type of director is this?
a) Nominee Director
b) Governing Director
c) Worker Director
d) Associate Director
a) Nominee Director
What is the difference between an INED and a CNED?
Connected Non-executive directors have affiliation or other relationship with the company, other than the directorship. Independent directors don't.
What is an inward-looking future-focused board activity?
Policy-making
In the German approach to corporate governance, large and public companies are required to have a _______ structure.
two-tier board
In a manufacturing company, an employee who has worked on the production floor for 15 years is elected by the workforce to sit on the supervisory board. Their role is to represent the concerns and interests of employees.
Which type of director is this?
Worker Director