Board of Directors Board of Trustees
Used in: Corporations, Cooperatives Used in: Nonprofits, Educational Institutions, Trusts
Role: Directs strategy, policies, and governance Role: Manages assets in trust for beneficiaries
Focus: Profit (Corporations) or Member Welfare (Cooperatives) Focus: Fiduciary responsibility to protect and use assets for a specific purpose

Key Point

The term director is used in corporations and cooperatives because they direct the organization’s strategy, policies, and overall governance. They represent owners or members, ensuring the organization achieves its objectives.

Overall, the term trustee embodies a role that emphasizes ethical stewardship, community responsibility, and a commitment to the mission of an organization rather than financial interests, which frames their decision-making processes and governance style