As the significance of effective corporate governance is still critical today for several reasons other than the global financial crisis, there has been a significant focus on the roles of CS firms in Mumbai. The roles and responsibilities of the company secretary have significantly shifted and encompassed a much bigger and more significant role as the Board Advisor. r.
The board, the chairman of a company, usually relies on the CS to guide them not only for the directors’ statutory duties to abide by the law, but also adhering to the corporate governance needs. The modern-day company secretary is now the primary governance professional in a company.
Role Of the Company Secretary:
The coronavirus pandemic has made it necessary for the companies to step up and offer additional value to the board, which is still in crisis mode for the last two years. In addition, it has made it necessary for the companies to work with the company secretary firms in Mumbai or broaden the administration and governance remit to the enables of the board processes. Following are the new roles of the company secretaries.
Support The Board
The health crisis has made it an obligation of the company secretary to work with the chairman to support them on governance matters and other aspects of the work to facilitate the board. The primary and essential part of it consists of periodically reviewing whether the board or the company's governance is good for the purpose.
Facilitate Performance Reviews
Most enterprises are now working with the CS firms in Mumbai because now the company secretaries must closely work with the chairman to provide the board performance reviews. It ensures that they are good and fit to lead the company shortly. After the last couple of hectic years, some governance processes, such as the regular board reviews, have been deferred. Now is the best time to ensure these reviews are happening since the boards have begun to come to terms with today’s norm.
Help With Succession Planning
Before any transition, the company secretary is provided with the role of facilitating the succession plan for the board. It usually involves identifying and nurturing future CEOs, directors, and chairs. The CEO succession planning should occur at least once a year. However, most boards tend to go for the market, and for them, succession planning is not something they like until the time gives up on them. Most of the time, leaving a company without any leader is disruptive, affecting the business's continuity.
This article talks about the changing role of the company secretary.
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