The level of corporate behavior in joint-stock companies affects the economic performance of their activities and their ability to raise the capital necessary for economic growth. In this article, we will analyze the basic rules of board meeting decorum.
The principles of corporate behavior
Corporate decorum is a broad term covering the system of relations between the management bodies and officials of a business company, board of directors, holders of securities, as well as other interested parties, one way or another involved in the management of the company as a legal entity. In this case, we are talking, first of all, about joint-stock companies. This is because it is in joint-stock companies, where there is often a separation of ownership from management, that conflicts related to corporate behavior are most likely to arise.
The purpose of applying the standards (rules) of the board`s behavior is to protect the interests of shareholders. The practice of corporate conduct should ensure that the members of the board of directors and the executive bodies of the company carry out conscientious activities with due care and discretion, in compliance with the requirements of the law and invariably in the interests of the company and all its shareholders.
The principles of the board`s behavior are the initial principles underlying the formation, functioning, and improvement of the corporate governance system. They are intended to clarify objectives and detail best practices in corporate behavior:
- Ensuring trust between participants in corporate relations;
- Compliance with business ethics of corporate behavior;
- Ensuring equal treatment of shareholders;
- Ensuring the rights of shareholders;
- Compliance with the requirements for the management bodies of the company.
What are the main board meeting rules?
As in ordinary communication between people, in the business world, there are also unwritten rules, business etiquette, or business courtesy. Contractors, partners, and clients, of course, do not explicitly indicate them in the contract, but they expect tact from those with whom they work. Here is a selection of common rules of the board meeting Decorum:
- Control your emotions
Are you in control of your emotions? A true leader must have a strong sense of self that attracts others. And controlling emotions in difficult situations is a form of business etiquette.
- Don’t be familiar
You should not switch to “you” without specifying this in advance, violate personal boundaries, make fun, communicate in a manner bordering on rudeness and tactlessness. Always remember that the interlocutor is not our old friend.
- Don’t ignore other people’s feelings
Experts advise entrepreneurs and managers to actively develop emotional intelligence – the ability to feel the emotions of other people and control their feelings.
- Forget your cell phone in meetings
Business etiquette experts advise you to always turn off the phone at a meeting, meeting, negotiations. Or at least set the silent mode so that a sudden call does not disturb the meeting participants.
- A clear plan is a key to success
It will be problematic to achieve positive results and make a good impression on the surrounding businessmen if you do not have a clear plan.
- Look how you sit
Here is a psychological moment. Set up your chair so that you are at the same level as the rest of the people. Otherwise, it will seem that you are a small child in an adult meeting. You just might not be taken seriously.
- Speak clearly and loudly
No one says that before a business meeting you need to make an appointment with a speech therapist in advance. You must give the impression of a person who is confident in himself, in his words.