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implies that it is exactly the same corporate entity as a Public
Limited Company, PLC in the UK or US. It translates Aktiengesellschaft as a company owned by share holders whose policies are decided on purely by shareholders. But, in actual fact, because of the supervisory board Aktiengesellshchaft
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Often in some countries (not sure how wide spread though) in not-for-profit organizations a 2 tier structure is adopted. 1. A Board of
Directors with oversight of the strategic direction and to ensure the 'owners' or the organization's key objectives are met and oversight of the CEO and and 2. the
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I study and research
Corporate Governance and this appears to be incorrect to me in that a supervisory board is not called board of directors. The board of directors is the first tier board, in this entry call the executive board, and the second tier is the supervisory board. Thus, the supervisory
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second tier variously called
Supervisory Board/Committee, Management Board/Committee etc with oversight of the operational aspects, the day to day running of the org (thus the Directors do not need to be concerned with day-to-day decisions/operations. May be worth adding with additional comments.
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Although I am not a specialist, I agree with the preceding paragraph that the article should not say the supervisory board is "often called board of directors." In the UK I would have thought supervisory boards were rare. In the UK most companies have boards of directors, and likewise in the US I
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think; and probably also in most
English-speaking countries. I can't help thinking that this whole article has been written to explain a foreign practice occurring notably in Germany, not something often found in English-speaking countries, as explained at
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are actually owned, well company policy is decided at any rate, by stakeholders rather than just shareholders through their voting powers at the Annual
General Meeting or EGM so the article is being quite misleading without this key piece of information.
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Looking at the phrase "The minimum of members a board can consist of is three, the maximum 20. The number of members has to be divisible by two, as stated in the law", surely then the minimum must be 4 members?
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493:. This should be made clearer in the first paragraph. At present there is little to make it clear in this English-language article that it is about something rarely found in English-speaking countries.
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Shouldn’t the information about the German supervisory board be merged with the article on
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