Raising the bar in the boardroom

The silver lining to the recent rash of corporate scandals is a new focus on the long-term health and well being of companies. This attention to fundamentals provides an excellent opportunity to raise the standards for boards. While every board is unique and board consultation is a highly individualized practice, there are certain items that warrant review by every board to ensure compliance with new expectations and standards. Questions about boards that should be answered include the size of the board, the makeup of the board, ensuring the independence of the board and board leadership. If a company has invested time and effort in setting its board up for success, through continual evaluation and the deployment of best practices, investors can rest assured that directors are operating from a solid foundation.