Q&A. Board of Director's responsibilities and liabilities.
Prof. Lars Bo Langsted recommends that the board of
directors actively debate the corporate governance recommendation to create
value. He further expects added focus on the corporate governance recommendations/standards
related to the current digital evolution in the coming years.
Q. How should the Board of Directors
(BoD) work proactively with the corporate governance recommendations to
best ensure value creation?
A. Creating value is a bit out of my line of core competence, however
I am not quite sure of the implications of being "proactive" in this context.
Nevertheless the orporate governance recommendations are of no value if
they are not actively debated within the BoD.
To the extent that the BoD find that one or more recommendations should
be followed, it must provide clear signal within their organization, that
the BoD is behind (part of) the recommendation, adapt it and return to
the debate next year.
Q. Do you expect any development in corp governance recommendations/standards
related to exactly the digital evolution?
A. I most certainly do. Important issues as electronic board-meetings
(pros and cons) or general assemblies, levels of security within the organization
and - even more important - the level of security when it comes to accessibility
and connection from and to the Internet, pros and cons regarding cloud-
solutions, privacy-issues etc.
