Learning outcomes
▪ Understand how companies are ruled, get to know about the duties and responsibilities of those who are responsible for the governance
▪ Make summaries and learn to make a report
▪ Participate in discussions using your personal experience
▪ Participate in role plays on problems of management
Task 1. Reading 1
Getting started
▪ Before reading the text, discuss in small groups what practical roles play directors in the governing the company. Do they always play the same role or the roles are changed according to the needs of the company?
▪ Skim the first part of the text (A) to find out if your ideas are similar to those in the text.
▪ Read the subheadings in parts B and C and discuss with your peers what each role means.
▪ Make a list of responsibilities that directors have, compare your list with a partner’s, discuss together and come to an agreement. Then read part D and check your ideas.
▪ Discuss in groups of three if directors have responsibilities to shareholders; why, if they have, and what responsibilities are. Then read part E.
▪ How should directors act towards the company? Can you think over some features and qualities that can charaterise their attitude to the members of the company and to work on the whole? Now read part F and check your ideas.
▪ Discuss with a partner what you know about theories of corporate governance, then read the last part G to know more about it.
▪ Read the text and consult Vocabulary p. 137–139.
ROLES AND RESPONSIBILITIES OF DIRECTORS1 A. Roles for Directors
Although a company law tends not to distinguish between different directors, holding them all equally responsible for the governance of the corporate entity, in practice the contributions that different directors make to their board can vary considerably. Moreover, the roles that any director may be called on to play can change over time.
