Quora Answer: When Should a Company Utilise Its Board of Directors?

The following is my answer to a Quora question: “When should a company utilise a board of directors?” 

The board of directors sets the strategic direction of the company, and this is not something done once, and then they sit back.  The board of directors has direct oversight over the executives, and are active in management.  A board that does nothing is a sign of a company that will fail. 

That being said, a well-managed and active board deploys members of the board to visit sites and installations, meet with shareholder groups, union representatives, regulators and government on a regular basis.  The board needs to be aware of what happens on the ground, and not depend solely on the reports from management.