These days, most boards are making the shrewd choice to go paperless. While some opt for centralized communication through the use of board software, others have simply stuck to email for their needs. In fact, according to a 2014 Thomson-Reuters study, approximately 43% of boards were still emailing their sensitive board documents. While email prevents added costs to board operations, it also poses many potential downfalls and risks.
- Email isn’t secure.
You’ve seen the headlines. Email hacks are a dime a dozen these days. Not long ago, we wrote a blog about the infamous Salesforce leak, which originated with an email from Colin Powell. Because they sent their board documents via email, their hypothetical plans for 14 different company acquisitions became public knowledge. When boards opt to utilize board software, however, they’ll be able to rest easier knowing that there’s dedicated security and heavily monitored data encryption protecting their materials.
- Email doesn’t enhance board member communication.