The Three Essential Functions of the Board

John Sharp - Wednesday, July 1, 2009 - 5,177 Views

I just re-read Peter Drucker's "Three Functions of the Board". As always, Drucker provides clear, seasoned counsel:

  1. The enterprise, first, does need a review organ. It needs a group of experienced people, people of integrity and stature, people of proven performance capacity and proven willingness to work, who counsel, advise, and deliberate with top management.
  2. An effective and functioning board is needed to remove a top management that fails to perform.
  3. Finally, the enterprise needs a ‘public and community relations’ organ.” 
John Sharp

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