To give you a better understanding of the role of a bank director in the ever-changing legal and economic climate, this course allows you to play the role of a director at the fictitious Insights Bank and Trust. Your first board meeting takes place in October.

Besides being introduced to the board and preparing for your first meeting, you'll follow along as another individual, Bill Williams, who has no prior knowledge of the banking business, is asked to serve on the Insights board. Like Bill, you'll examine the bank director's role in the bank's system of corporate governance. In particular, you will look at the unique and vital role played by the "external" director in the safe and sound operation of a bank and its compliance with laws and regulations.

Lesson Objectives

This section introduces you to the topic of corporate governance and sets out a director’s role and responsibilities in a bank’s governance system. It also serves as your orientation to Insights Bank and Trust, its management team and course materials provided to you as one of its directors. When you finish this section of the course, you should be able to:

• explain the concept of "corporate governance" as it applies to the business of banking,
• list the major duties and responsibilities of bank directors in the governance system, and
• outline the unique and vital role played by the "external" or "outside" director in a bank’s safe and sound operation.