The purpose of this policy is to set standards for board committee structures and protocols. It applies to the board of directors and any external resources hired by the board.
In this sample, the board of directors shall create such standing committees and ad hoc committees as it deems necessary and appropriate to fulfil its mandate. The board of directors shall appoint an audit committee to provide oversight on financial and internal control processes. The audit committee shall deal directly with the company’s external auditors in the performance of its duties. All board committees shall have a board-approved terms of reference.