What does the third floor mean?

The first floor of the Third Session refers to the rules of procedure. The first layer of the company refers to the organization of the company, which is called the corporate governance institution. The third level refers to the shareholders' meeting or shareholders' meeting, the board of directors and the board of supervisors, and the first level refers to the company's senior management. The organizational forms of Chinese enterprises are divided into limited liability companies and joint stock limited companies, both of which have a corporate governance structure of "three meetings and one layer". Effective corporate governance is the core of modern enterprise system construction.

Definition of board of directors

There is a chairman and a vice-chairman elected by the board of directors. The term of office of directors is three years. Upon expiration of the term of office, directors may be re-elected. Before the expiration of a director's term of office, the shareholders' meeting shall not dismiss him without reason. The board of supervisors, also known as the company supervision committee, is a statutory and necessary supervision institution of joint-stock companies. It is an internal organization set up side by side with the board of directors under the leadership of the shareholders' meeting, and exercises supervision over the administrative management system of the board of directors and the general manager.