What are the two primary objectives of a Board of Directors (BOD)?

The two primary objectives of a Board of Directors (BOD) focus on ensuring effective governance through oversight and decision-making. The duty of care encompasses the responsibility of the board members to act in the best interests of the organization, making informed decisions and providing appropriate oversight of the management functions. This includes evaluating leadership performance, ensuring compliance with laws and regulations, and safeguarding the organization's resources.

In this context, the oversight function is critical as it holds management accountable and monitors the execution of the organization's strategy. It ensures transparency and adherence to ethical standards, which are fundamental to maintaining trust with stakeholders. By emphasizing both the duty of care and the oversight function, the Board of Directors plays a crucial role in steering the organization towards achieving its mission while managing risks effectively.

While other choices mention important aspects of governance or organizational responsibilities, they do not capture the essence of the primary objectives of the BOD as directly as the chosen answer does. Strategic planning and employee management, for example, are often responsibilities associated with management rather than the board itself. Similarly, advocacy and marketing compliance, while relevant to the broader organizational context, do not pinpoint the core governance functions of oversight and decision-making inherent in a board's role.