How Does Voting Work at a Board Meeting

how does voting work at a board meeting

Many companies practice a democratic governance model in which all important decisions are made by voting. This model of management gives an opportunity to discuss a problem and find the most acceptable solution for the benefit of the whole company. Each company has its own peculiarities of the voting procedure, but in most cases, it is more or less similar. We suggest that you learn a little more about how does voting work at a board meeting to get a complete picture of how the board of directors works.

What steps does the voting procedure consist of?

The entire voting process consists of several stages, among which we can single out:

  1. Familiarization with the agenda. This is the first stage, which can be safely called organizational. At this stage, the members of the board of directors are familiarized with the agenda and the order of the meeting. The secretary of the meeting makes a list of those present, which is then entered into the minutes of the meeting.
  2. Consideration of issues on the agenda. The agenda is a kind of outline to be followed by the board of directors during the meeting. All items are considered in turn. For each item a speaker is chosen in advance, who reveals the essence of the issue and makes the main proposal for its solution, which should be accepted by a simple majority of votes.
  3. Discussion. If the solution that the speaker proposes on a certain agenda item does not suit the members of the meeting, there can be a discussion on its essence. There can also be a discussion if someone present has an alternative vision or solution to the problem being discussed. A statement of discussion must be made prior to the voting procedure, with each of the board members present entitled to speak.
  4. Voting. This is an important part of the meeting procedure and is the conclusion to a specific agenda item. When all discussions are over, several options for deciding on an item have been adopted, the chairman of the meeting puts them to a vote. The final decision is usually made by a simple majority vote. Sometimes the final decisions may be radically different from the options that were proposed in advance by the speaker.
  5. The results of the vote are recorded. After the meeting, the secretary prepares the minutes of the meeting, recording the main points of the meeting and the final results of the issues. The minutes of the meeting are usually signed by all board members who attended it.

Some aspects of the voting procedure may differ from company to company, but in general, these steps are basic for all variants.

How do I create a board agenda template?

Thanks to the introduction of board software, such as virtual whiteboards, the voting procedure has changed somewhat. In particular, the following are worth noting:

  • Agenda drafting using virtual document creation tools;
  • Automated vote counting;
  • Conducting the meeting online;
  • A modified voting procedure in which board members fill out electronic forms and either support or reject proposed resolutions.

There are many advantages to using virtual voting portals. Among them, the convenience, faster review of issues, and more robust security are especially noteworthy. No wonder the changed procedure of voting is becoming more and more popular among companies all over the world, irrespective of the specifics and scale of the company.