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Board Legal Fiduciary Duties
All state statutory and case law holds that directors of nonprofit, 501(c)(3), corporations must serve as stakeholder (owner) agents, acting in ways that protect and advance their interests. Legalities aside, this is the foundation of great governance. In order to fulfill this obligation, directors must discharge three legal fiduciary duties: loyalty, care and obedience.
Avoiding Groupthink in the Boardroom
In today’s environment it is particularly important for boards to take the time to discuss difficult issues, challenge assumptions and refuse to rely on groupthink when confronting strategic opportunities, financial challenges and quality oversight. To do this effectively, trust, candor, differing points of view and self-reflection are essential — assets no board can do without.
Becoming a First-Rate Board
Fulfilling duties includes actively engaging in practices that promote good governance. A review of best practices enables the board to reflect on opportunities for improvement.
Asset Stewardship and the Board's 3 for Understanding and Improving Operational Efficiency
Asset stewardship has long been a key board responsibility. As fiduciaries of a health care organization’s assets, governing boards are required to act in the best interest of the organization, ensuring that resources are used in a reasonable, appropriate and legally accountable way to meet community health care needs.
Board Leader Resources
AHA Trustee Services offers resources for board leaders on leadership development, board chair relationship with the CEO, committees, and more.
Position Description for a Health System or Hospital Board Member [Full]
The role of the board is to govern, not manage, the organization. To that end, the board carries out four roles.
Understanding the Board of Trustees’ Role
Many organizations, including the American Hospital Association, offer resources and publications on corporate governance.