ABSTRACT
This chapter highlights and provides insights into the critical role of the board in the financial success of a company. It also considers the role of the board in CSR and sustainable development. This is a valuable contribution, as most studies in the literature treat financial and social performance of firms as separate issues. The chapter argues that for a company to be a success, it must have a well-functioning and effective board. For increased financial performance, boards would need to pay attention to elements such as duality, diversity, tenure, composition, competencies and the size of the board. This chapter further points out that, beyond financial success, boards are also expected to maintain the highest standards of internal governance while promoting ethics, aligning with the stakeholders, and staying in tune with society’s aspirations. For increased social success, the board is therefore expected to become integrated with local communities in their decision-making processes and business operations, maximize the positive effects of their operations on such communities, and thereby contribute to sustainable development.
