Stockholders own corporate entities but elect a board of directors to govern the company. The board is responsible for overseeing the general management of the company’s business (for the benefit of the stockholders) and—except for certain matters reserved for stockholders—has decisionmaking authority over the company’s affairs. Directors, in turn, delegate much of the day-to-day operational matters of running the business to officers of the company, who hire employees and engage other third-party consultants and advisors. Originally published in NYSE’s Public Company Series: Board Structure and Composition – September 2025.
Source: Meeting SEC and Stock Exchange Criteria for Boards and Committees