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Managing risk: five steps to enhance board E-readiness

Nelson Mullins Riley & Scarborough LLP

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USA October 16 2013

Directors need information to execute their oversight function. They also need to consider and discuss that information to make effective decisions. How do they get and manage boardrelated information? When an investigation or litigation strikes and board-level information is targeted, is your company armed to respond quickly and defensibly? Consider this simple self-test: If you answer “yes” to one or more questions, chances are your directors have board-related electronically stored information (ESI), and enhancing E-Readiness can bring value to your company. – Do your company’s directors have email accounts (personal or company-issued)? – Do they use email to communicate with each other to discharge their oversight duties? – Does your company provide information to directors electronically (via email, board portal, or other)? – Do your company’s directors have mobile devices (personal or company-issued)? – Do they use these devices to receive board information? – Might your directors commingle electronic board-related information with other electronic business or personal information? Navigating the Road to Enhanced E-Readiness Following are some key things to consider to navigate the intersection of corporate governance and information governance, and to help enhance your board’s E-readiness. Map practices and policies and address boardlevel information . As a starting point, define the various types of board-related information subject to corporate information governance policies, and identify channels used to disseminate information to and among directors. Review relevant policies to confirm any requirements applicable to the board (including preservation and legal hold, email, records retention, company-issued mobile device or laptop, bring-your-own-

Nelson Mullins Riley & Scarborough LLP - John D. Martin and Renee S. Dankner

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