What does a company advisor do?

The Board of directors is a common structure in the governance of companies, government agencies, and even non-profit organizations. This is a group of experienced professionals who monitor the work carried out by the Board of Directors. In the case of public companies, the Board acts as "the voice of the shareholders" in the most important decisions.

But it's not just large companies that can have a board – Endeavor, for example, strongly recommends that its entrepreneurs adopt Administrative or Advisory Boards. The difference between these two is that while the Board of Directors has a deliberative role, the Advisory Board acts more like a mentor for the organization, offering opinions and recommendations that may or may not be adopted.

But what does a company director do? And what is the routine of a professional dedicated to this function? Mario Mello, former general director of PayPal and who today sits on the Board of companies such as Constructor Tenda and Track & Field, explains that the main responsibilities are related to the organization's strategic vision. "Planning sets the agenda, and the board advances in themes at each meeting to evolve this strategy."

In the ideal scenario, he says, the Board sends out the materials to be discussed 3 days in advance. The meetings, which can be held monthly or more, last between 2 and 8 hours. "At these meetings, there is a lot of updating, deliberations, and decisions on investments – for example, in the case of building a new factory, management needs to convince the board of the need."

According to him, there are also cases in which the director assumes a position of support to the administration – almost like a mentor. "We asked the CEO: what is causing you to lose sleep? And we assume a very practical role about the main opportunities".

Who sets the Council?

Government regulations and the organization's charter generally determine the Board's duties and its organization. These guidelines specify the number of board members, how they will be chosen, and the frequency of meetings. Most boards vary between 3 and 30 members, but some analysts point out that the ideal number is 7.

B3, for example, explains on its website that its Board of directors is responsible for "defining strategy and annual salary or budgets, as well as deciding when to call Shareholders' Meetings and propose dividend division." The Board is also responsible for electing and supervising directors and choosing external auditors. The Board meets monthly, and the 11 members are elected at Shareholders' Meetings for a 2-year term.

Main attributions of the Board of Directors

• Monitor and guide the organization's strategy;
• Hire and evaluate the performance of the organization's CEO/president;
  
• Monitor the annual budget of the organization;
• Decide on investments and strategic moves.

How to become a Council member?

Boards are composed of more than just retired or those nearing the end of their careers. Mario Mello started at age 37 when he took over Visanet's Board. However, by then, he had already accumulated vast experience in directorships and people management.

This is the way to assume a position of advisor – to accumulate relevant experience in the sector, with experience in high management and decision-making levels. Walmart, for example, states that it seeks board members with "relevant professional accomplishments, broad experience and wisdom, integrity, experience with and understanding of the business environment," in addition to some specific expertise, such as "experience with e-commerce and technology, marketing, finance or legal."

To become a member of the Board of Directors, the more qualifications that are brought to the table, the better. Researching the careers of directors from companies you would like to work for is another way to identify what they are looking for in new members.

Finally, it would help if you established good relationships with the organizations you work with and your professional interfaces to leave doors open for a possible recommendation.