An executive committee is an association comprised of board members that have close leadership ties and convene to address urgent matters that impact the company. They make decisions for the entire board and provide the direction for the organization’s strategic plan. They also act as a bridge between the CEO and the board. Executive committees can be an effective solution for businesses with a lot of routine issues, require immediate action on important matters or don’t wish to wait until the entire board is seated.
A good executive committee should comprise senior executives and leaders from other committees. The chairman of the Board is typically also an executive committee. They should be responsible for the agenda for the committee and ensure that all board and committee activities are in line with business’s objectives. This person is also the spokesperson for the board, and will appoint committee chairpersons. The number of members of the executive committee will differ from one organization to the next organization. However, the board’s bylaws should clearly spell out who is a member of the committee. According to research, a committee with seven members is a good size for optimal decision-making.
The executive committee is in charge of establishing the governance standards and taking strategic decisions at a high level and providing oversight to management. They also have responsibility for the training and development of board members. Based on the size of the committee they could meet monthly, quarterly or on a regular basis.
While an executive committee may be a valuable tool for many nonprofits and organizations but it’s not a solution that is suitable for all. If your board is small or you have a robust board of directors who work effectively without an executive committee, you may find that this structure isn’t needed for your organization.
