Boards of Directors: Their Changing Roles, Structure, and Information Needs

Charles Waldo takes a penetrating, behind-the-scenes look at today's trends in the corporate board room. He details the current and likely future roles boards of large firms will have to play and describes the interplay between the CEO and the directors. He describes current board composition and committee makeups and suggests the need for some new and uncommon committees. He notes the impact that changes in roles and structures have on the need for better information by board members and details the the types of financial and operating information directors receive from management today. Waldo prescribes a model information package, emphasizing the use of trend charts, financial ratios, and other kinds of visual and comparative data put together in simple, easy-to-use formats. He also addresses the need for softer, qualitative kinds of information not generally derived from accounting systems, but even more important for directors trying to analyze what is going on and what is likely to happen.