The Board of Directors in Nokia Corporation
The Board of Directors of Nokia Corporation manages all the main operations in the company and provides the company’s strategic development according to the corporate principles.
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On May 3, 2012, eleven members of the Board were elected. Today the Board of Directors is represented by the Chairman Risto Siilasmaa and Vice Chairman Dame Marjorie Scardino and the other members of the Board who are Stephen Elop, Jouko Karvinen, Isabel Marey-Semper, Henning Kagermann, Bruce Brown, Marten Mickos, Helge Lund, Kari Stadigh, and Elizabeth Nelson.
The members of the Board are predominantly independent directors or external members, and they are non-executive in their functions. Stephen Elop is the President and CEO of Nokia Corporation and can be discussed as the internal member of the Board (“Board of Directors”).
Today the most considerable amount of the company’s shares is purchased by the representatives of the foreign countries. Thus, the members of the Board have only 10% of all the shares of Nokia Corporation. At the Annual General Meeting in 2012, it was stated that it is necessary to provide the repurchasing of the shares in order to contribute to the most effective development of the company (Neuvo, Ruohtula, and Schwalbach).
The Peculiarities of Stocks
One of the main features of Nokia Corporation is the orientation on the publicly traded stock options. Nokia Corporation has only one class of shares according to which the holder of one share can have only one vote. Thus, the number of votes depends on the number of shares directly (Neuvo, Ruohtula, and Schwalbach).
The Contribution of the Board Members in Terms of Knowledge, Skills, Background, and Connections
All the members of the Board of Directors take the leader positions in different companies abroad and provide the independent view on the progress of the company (Wheelen and Hunger). They also contribute to the realization of the most innovative elements of the development as the part of the company’s strategy and support the establishment of the effective relations of cooperation with the foreign companies (“Board of Directors”).
The Duration of the Membership in the Board
Dame Marjorie Scardino is the Board member since 2001 and the Vice Chairman since 2007. Henning Kagermann is the member of the Board since 2007. Risto Siilasmaa is the Board member since 2008, and he was elected as the Chairman of the Board of Directors in Nokia Corporation in 2012.
Isabel Marey-Semper is the member of the Board since 2009. Stephen Elop, Jouko Karvinen, and Helge Lund are the members of the Board since 2011. In 2012 Bruce Brown, Marten Mickos, and Elizabeth Nelson were elected as the members of the Board of Directors in the company (“Board of Directors”).
The Level of the Directors’ Involvement in Strategic Management of the Company
The Board of Directors is responsible for developing the strategic direction of the company, for managing the peculiarities of the strategic development, for regulating the management policies within the company, and for controlling the strategic partnership.
The members of the Board not only regulate and control the strategic and economic development of the company but also evaluate Nokia Corporation’s perspectives and regulate the international relations and partnerships. The position of the Directors is active, and they examine the characteristic features of the risk management in the company and participate in the regulation of the legal issues (“Board of Directors”).
Board of Directors 2012.
Neuvo, Yrjo, Samppa Ruohtula and Joachim Schwalbach 2002. Governance of a Company in a Fast Changing Business and Technology Environment. PDF File.
Wheelen, Thomas L. and David Hunger. Strategic Management and Business Policy: Toward Global Sustainability. USA: Prentice Hall, 2011. Print.