Boards are always dealing with sensitive and confidential information, regardless of whether they are in business, government or nonprofit organizations. They are accountable to protect the interests and interests of shareholders, therefore they need to be capable of discussing sensitive issues without fear of their deliberations being revealed to the public.
A secure portal for boards that can only be accessed by those who have the appropriate password, is an important way to protect sensitive board documents. It is also beneficial to create check guidelines for the safe storage and disposal of physical papers. Additionally, using a board application that permits secure sharing of files can be a great way to avoid access violations.
Many organizations fail to follow this rule even though it could appear obvious. This is particularly true for board meetings. A leak of confidential information could damage the image of an organization and could have legal implications for the company and directors.
A confidentiality agreement can be a useful tool to ensure that documents are kept secret. However, it is difficult to enforce. A board’s confidentiality policy must be clear on the consequences for those who violate the conditions of the agreement such as fines and disciplinary actions. In addition it should outline the types of information that must be kept confidential and include security protocols such as encryption and the use of only approved platforms for communication.