Roles and responsibilities of boards of directors are to:
(1) Represent shareholders and create shareholder value.
(2) Align the interests of management with those of shareholders while protecting the interests of other stakeholders (customers, creditors, suppliers).
(3) Define the company’s mission and goals.
(4) Establish or approve strategic plans and decisions to achieve these goals.
(5) Appoint senior executives to manage the company in accordance with the established strategies, plans, policies, and procedures.
(6) Oversee the company’s performance by setting objectives, establishing short-term and long-term strategies to achieve these objectives, and assessing the performance of senior executives in fulfilling their responsibilities without micromanaging.