Get to Board: Need for Board Training
Training is the next phase after some self-awareness and self-learning about boards and corporate governance. Once you get serious to pursue a non-executive career on the board as an independent director and have a sufficient understanding of the role and duties of the board’s independent directors. Ideally, you should enroll in a reputable board training course. The training requirements have been mandated by regulating authorities for existing directors however aspiring directors make their own choice for introductory training to boards.
Training Requirements for Directors in India
As per Regulation 4(2)(f)(iii) of SEBI (LODR) Regulations, 2015 the Board shall encourage continuing director training to ensure that the members of the board of directors are kept up to date.
As per Regulation 27 (b) the listed entity shall familiarize the independent directors through various training programs about the listed entity including the roles, rights, and responsibilities of independent directors.
The above two are more for existing Independent Directors.
There are various board training options available for self-learning and through classroom sessions. Some of them are mentioned here below:
- Self-learning model: The best self-learning model is available on the website of the IICA-Indian Institute of Corporate Affairs (a Government of India body under the Ministry of Corporate Affairs). Once you register on their website (www.independentdirecorsdatabank.in) after seeing their video and paying a fee of Rs5,000 + GST, you will have access to their 42 video modules through which you can learn enough about board practices and processes. Enough reading material is also available under the MOU Partner’s section so that you may read and learn more at your desired pace.
Once you have gone through the reading material and the 42 modules, you can undertake a mock test also to gauge your level of knowledge. Once you are comfortable you can register for a self-attested proficiency test for independent directors. After clearing the test, you will get the certificate in your hand. Try to do this without any outside help to boost your confidence that you are well-equipped to be on board as an ID.
- In-class board training: Several in-class training options are available in person as well as in virtual mode. Various institutes offer such training programs, and the most reputed ones are –
- Institute of Directors: (https://iodglobal.com/masterclass-for-directors)
This is the first and foremost board training institute in India for over twenty years now. IOD has trained over 6,000 existing and aspiring directors through its flagship program, “Masterclass for Directors” for individuals and also for well-known organisations like Tata Steel, LIC, GAIL India, HPCL, Bridgestone, Morning Star, Tasty Bite, etc. IOD’s Masterclass is the natural first choice for board training as it also comes with a complimentary one-year membership to IOD’s programs to help you in networking and regular knowledge updating. Its pricing is pocket friendly which makes it popular among individual board aspirants.
- IICA training program for existing and aspiring directors:
IICA organises a three-day residential program for existing and aspiring independent directors. A recent entrant to board training but coming from the Ministry of Corporate Affairs, Government of India stable it finds huge acceptance among government organisations. Being a residential program, it also helps in close networking among the participants and faculty.
- Hunt Partners training program:
Board search firm Hunt Partners has been conducting board training programs in India for many years in Mumbai and has found good acceptance from private sector individual participants. Due to its premium pricing, it has a different positioning.
- Other Programs:
There are many other board training programs available in India and you will have to carefully check their credentials through your own sources. There are good programs on corporate governance offered by IIM Ahmedabad and IIM Bangalore also.
- Overseas programs:
Board training programs are also available from overseas institutes like Harvard Business School, IMD, INSEAD, IOD UK, etc. These programs are recommended only for board aspirants looking for board seats abroad or those aspiring to join MNC boards in India.
Note: Get support from Board Stewardship Inc. to select the right board training program for you. We help you understand your needs and brief you on the relevant features of various board training programs. Email us with the subject matter Info-Board Training your phone number for a call back on email@example.com