On the surface, selecting the appropriate slate of directors and putting them in place for your organization may seem like a fairly straightforward task. However, for multinational companies with subsidiaries around the world, there are different approaches to the selection of the board of directors/managers to consider and pitfalls to overcome with implementing the new slate. In this article, we discuss common approaches and key factors for selecting appropriate board slates, before examining best practices for implementing appointments and specific considerations in the transactional context.
Directors Roles and Scope of Authority
It is important to understand how each jurisdiction’s legal requirements with respect to entity management may differ. In the United States, directors act collectively as a board to take key strategic decisions and are distinct from officers who are responsible for the day-to-day management of the company.
