Conclusion: Functions of the Group Board
The chief functions of the group board consist of: initiating (objectives), integrating (policies), and evaluating.
In carrying out its functions, the group board is supported by a number of small staff departments with highly qualified staff whose task it is to share the board's work in policy-making (but not to provide services for the companies). These staff departments cover (as necessary):
- commercial matters – sales policy, market research
- technical matters – product development policy and production allocation
- economic and financial matters and internal accountancy
- social matters – management development
- communication policy, including information-processing policy
- (possibly) legal matters, public relations, etc.
The four main tasks of the group board are:
- strengthening and developing the commercial basis of the group
- management development (development of the human resources in the group)
- financing of commercial and technical developments
- long-term development policy (internal and external)
- If possible there should be collective management (but in times of extensive reorganization it can be desirable to have a chairman).
- The top should be as small as possible in relation to the extent of the task.
- There should be no “super” specialists at the top.
- Three kinds of task can be distinguished:
(a) A number of tasks are the joint responsibility of the whole board (see below).
(b) Other tasks are the concern of a particular ...