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they make policies to guide where the organization go.
Serge M
The board of directors of a corporation is a group of people who are supposed to represent the interest of shareholders. they establish policy, appoint officers to manage the corporation, set salaries, and perform a number of other functions. They may be divided into several committees, such as the compensation committee and audit committee. Some of the board members may be officers of the corporation. They are referred to as inside directors. Others are not employed by the company and are called outside directors. Typically the compensation and audit committees are made of outside directors, who are supposed to be more independent.
Since the collapse of some major corporations in recent years, laws have been passed that make the boards of directors much more answerable to shareholders than was the case in the past. They have assumed more responsibility for overseeing the officers and ensuring that the company is run in the interest of shareholders.