Legal analysis: The Board of Supervisors is an internal organization that exercises supervision over the administrative management system of the board of directors and the general manager under the leadership of the shareholders' meeting. A supervisor is a person who specializes in performing supervisory functions. A supervisor may be a shareholder or a worker's representative. The functions of the executive director and the board of directors are similar, only because of the size of the company, the functions of the board of directors are concentrated on one person. The board of directors is the executive body of the company's shareholders' meeting and is responsible to the shareholders' meeting. A limited liability company may have 1 executive directors without a board of directors because of the small number of shareholders or small scale. The board of supervisors consists of supervisors, who are composed of shareholders' representatives elected by the shareholders' meeting and employees' representatives elected by the employees' meeting. The board of directors and the board of supervisors are both important parts of the company. The board of directors is the executive body, and its main responsibility is the production and operation of the company. The board of supervisors is the supervisory body of the company, and its main responsibility is to supervise the personnel and business activities of the company.
Legal basis: Article 51 of the Company Law of People's Republic of China (PRC) establishes a board of supervisors with no less than three members. A limited liability company with fewer shareholders or smaller scale may have one or two supervisors instead of a board of supervisors. The board of supervisors shall include an appropriate proportion of shareholders' representatives and employees' representatives, of which the proportion of employees' representatives shall not be less than one third, and the specific proportion shall be stipulated in the articles of association. The employee representatives in the board of supervisors are elected by the employees of the company through employee congresses, employee congresses or other forms of democratic elections. The board of supervisors shall have a chairman, who shall be elected by more than half of all supervisors. The chairman of the board of supervisors shall convene and preside over the meeting of the board of supervisors. If the chairman of the board of supervisors is unable to perform his duties or fails to perform his duties, more than half of the supervisors shall nominate a supervisor to convene and preside over the meeting of the board of supervisors. Directors and senior managers shall not concurrently serve as supervisors.