Banking Exam Question - What are NRB Directives about Corporate Governance Rules & Regulations for Board Members of Company? Explain

Introduction - Corporate Governance for Board Members

The Chairman, who is also the CEO, serves on the Company's Executive Committee and is Chairperson of such Committee. The remainder of the Executive Committee is comprised of the non-employee director Chairpersons of the Audit, Compensation, Corporate Governance and Nominating and Finance Committees.

Governance: 

Theoretically, the control of a company is divided between two bodies: the board of directors, and the shareholders in general meeting. 

By and by, the measure of energy practiced by the board fluctuates with the kind of organization. In little privately owned businesses, the executives and the investors are regularly similar individuals, and in this manner there is no genuine division of energy. In vast open organizations, the board tends to practice to a greater degree a supervisory part, and individual obligation and administration has a tendency to be appointed descending to singular expert officials 

A differentiating view is that in huge open organizations it is upper administration and not sheets that use down to earth control, since sheets assign about the majority of their energy to the best official workers, embracing their suggestions practically without fizzle. As a down to earth matter, administrators even pick the executives, with investors regularly following administration suggestions and voting in favor of them.