out by an undue infrequency of board meetings. A board
that meets infrequently is unlikely to be much more than
a ‘reserve power’. Formulation and adoption of policies
and effective oversight of the executive will not be done
effectively by an absentee board. For instance, one leading
regional bank’s board in 2012 met just four times, with a gap
of almost 120 days between two adjacent board meetings.
Notwithstanding that committees of the board also met,
such infrequency puts in doubt that the board is able to
discharge all of its responsibilities effectively, which include:
• Setting the direction of the business and determining
overall policies;
• Determining and providing the resources needed to
implement the direction set;
• Overseeing that the executive is running the business
so as to implement the direction the board has set;
• Instigating remedial actions as and when needed.
It is hard to imagine that a board can be effective if it meets less
than about ten times a year, perhaps more. The board should
be the body in the company that makes the most difference.
Committees of Boards
In the financial sector across the Gulf, risk committees
of the board are already generally established. While
financial institutions h ????????????????????????????)?????????????????????????????????????????)??????L?????????????????????????Q??????????????)????????????????????????????????????????????)?????????????????????????????????????????()I???????????? ???
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