Nightmare of Conflict Between Management and Board of Directors

conflict between management and board of directors

Building working relationships in a company requires a great deal of hard work and time from both employees and management. Management structures in particular play an important role in creating a positive atmosphere in the company. But what if there is a conflict between management and the board of directors? What should ordinary employees do in such a case? Here is a little more information on the dangers of conflicts in management structures and how to avoid them for the benefit of the entire company.

The main causes of conflicts between board members and executives

In the process of establishing working relationships, it is almost impossible to avoid conflicts. There can be many causes, but conflicts within executive structures – particularly between the board and executive directors – often have a typical origin. The most common causes are:

  1. Lack of effective communication. In order to build a normal work process, it is necessary to create a favorable workspace, and important information must be shared constantly. It is also important to present information in full so that there are no misunderstandings or misunderstandings. If board members and executive management are unable to communicate, conflicts cannot be avoided.
  2. Unclear division of work responsibilities. Quite often, executive directors do not understand the primary role of the board of directors in setting up the work process. They are not often able to appear in the office, they do not always get into the details of the work process, and they delegate most of the work to the executive directors. The latter may feel that they have a lot of responsibility that is not always related to their direct job duties, which can lead to conflicts between the board and the executive management.
  3. There is inadequate oversight of board actions. Sometimes executive management and employees may feel that the actions of board members are not properly evaluated and monitored. This can lead to feelings of unfairness, which can also provoke conflicts. It also points to an imperfect workplace statute that does not clearly spell out the duties and responsibilities of all company members.

Conflicts in the workplace, especially in management structures, are destructive to the work process and can affect the further development of the company.

How is the board of directors related to management and what should be done to overcome conflicts?

It is worth remembering that maintaining communication between the board of directors and the executive structures is of no small importance for the development of the company. Together, they design and implement the development policy for the entire company. In addition, the direct managers of structural divisions are often the link between the employees and the top management, and their cooperation determines whether the employees properly understand the goals of their work.

To avoid conflicts between the board and executive directors, it is necessary to:

  • Clearly outline the scope and job responsibilities of all team members;
  • Establish a process for communication between all structural parts of the staff;
  • Develop alternative mechanisms for communication between the board of directors and rank-and-file employees.

It is worth remembering that establishing normal working relationships takes a long time and a lot of effort. At the same time, it is worth remembering that the ultimate goal of this process is to ensure the stable development of the company and all of its employees.