What is one of the primary responsibilities of the board of directors?

The primary responsibility of the board of directors is to oversee corporate management. This entails ensuring that the company is being run effectively and in the best interest of the shareholders. The board makes significant decisions regarding the strategic direction of the organization, appoints top executives, and evaluates their performance. By providing this oversight, the board helps to guide the company’s policies and objectives while ensuring compliance with laws and regulations. This governance role is essential in maintaining accountability and mitigating risks within the organization.

In contrast, managing daily operations falls under the purview of the company's executives, not the board. Filing taxes and handling employee relations are also operational tasks typically managed by the company’s management team rather than the board of directors. The distinction in roles highlights the board’s focus on higher-level oversight and strategic guidance rather than day-to-day management.