Which term is used to describe individuals who oversee the strategic direction of an entity?

The term that describes individuals who oversee the strategic direction of an entity is the Board of Directors. This group is typically responsible for providing governance, setting policy, and ensuring that the organization adheres to its mission while achieving its objectives. The Board makes crucial decisions regarding the entity's operations, financial health, and overall strategy, acting as a bridge between shareholders and management.

The Board of Directors plays a pivotal role in fulfilling fiduciary duties, which involve acting in the best interests of the institution and its stakeholders. Their authority often includes hiring and evaluating top executives, approving major initiatives and budgets, and ensuring compliance with legal and ethical standards. This responsibility underscores their essential function in steering the entity toward sustained success.

Other groups, such as the management team and governance committee, contribute to leadership and operational roles, but they do not typically have the same level of strategic oversight that the Board of Directors holds. An advisory board, while valuable for providing expert advice, primarily supports the organization without the formal authority to make binding decisions regarding the strategic direction.