Board Committees—and How to Work With Them

Abstract

Nearly all boards of publicly traded companies have three core committees that typically form the backbone of the board’s committee structure: Audit, Compensation, and Nominating/Governance. Some boards have more than these three committees, such as Finance, Risk, or Corporate Social Responsibility. Others have adopted different names for the three core committees that may denote an expanded committee role or may reflect the company’s heritage. For example, a “Board Affairs Committee” typically includes the functions of a Nominating/Governance Committee; a “Remuneration Committee” is the common British term for the Compensation Committee.