For the government, business or non-profit organizations, boards have to deal with sensitive and confidential information on a regular basis. They are bound by a fiduciary responsibility to protect the interests of shareholders and other stakeholders, which is why they must be able to discuss matters in a transparent manner without worrying about their deliberations being publicly revealed.
Making a secure board portal that is accessible only to people with the correct password is the best way to ensure that your board documents are safe. It is also helpful to create policies for the safe storage and disposal of physical documents. In addition, using a boards application that allows secure sharing of documents can be a great solution to stop access violations.
While it may seem obvious that you should not post confidential information on websites that are public, many organizations www.dataroomabout.com/ideals-virtual-data-room-review/ don’t take this precaution. This is especially true for board meetings. The leak of confidential information could damage the image of an organization and could result in legal consequences for directors and the company.
A confidentiality agreement can be a useful tool to keep confidential documents confidential. However, it is difficult to enforce. A board’s confidentiality policy should be clear on the consequences for those who violate the conditions of the agreement like fines and discipline measures. It should also outline the types of information that need to be kept private and include security protocols like encryption, and only utilize approved platforms for communications.
