igazgatóság

Igazgatóság is the Hungarian term for the board of directors or directorate, the top governance body of an organization. It holds decision-making authority over strategic direction and major actions, while daily operations are typically handled by executive management. The concept appears in corporate law as well as in public administration.

In companies, the igazgatóság is usually elected by shareholders and may include a chairman. Its duties include appointing and dismissing the chief executive, approving strategic plans and budgets, authorizing significant transactions, and ensuring compliance with legal and fiduciary obligations. The board supervises performance, risk management, and internal controls, and it protects the interests of the shareholders and the enterprise. Decisions are taken by vote according to the statutes or law, with certain matters reserved for the board as a whole or for independent directors.

In public institutions, the term designates a directorate or top managerial unit within a ministry or agency, led by an igazgató. It is responsible for policy implementation, coordination among units, and management of the allocated budget, reporting to a minister or higher authority.

Etymology and usage: igazgatóság derives from igazgató (director) plus the suffix -ság, forming a collective noun. The term is common in Hungarian corporate and administrative language and is distinct from felügyelőbizottság (supervisory board) and from vezetőség (management).