The boards job is to see that the organization manages the organization's resources effectively. It also has a role to protect accumulated assets. The board’s job can only be achieved by defining expectations and then monitoring to assure that operational activity achieves the protection of assets. The board can only determine protection IF there is clear, timely, and accurate reporting and that the board understands what those reports are saying.
Protecting the assets includes hiring an auditor, insisting on appropriate financial safeguards, and monitoring to assure that appropriate insurance is in place and procedures in play will not bring unnecessary liability to the organization.