Set Up for Success: Considerations When Developing a Technology Committee Charter

How to use this tool:

Boards can use this tool as a reference guide that outlines the key components of a technology committee charter and the associated items boards should consider when establishing a technology committee. It provides contextual information and data to help boards establishing a technology committee and navigating the process of writing the committee’s charter.

Board technology committees are becoming more common. NACD survey data reveal that across the Russell 3000, 7 percent of boards, 194 in total, have a technology committee, which represents an increase of 41 since 2019. Spencer Stuart’s 2023 United States Board Index further reveals that across the S&P 500, 15 percent of company boards now have science and technology committees compared to only 9 percent of companies over the same time period. Further, a dedicated board technology committee can be an effective approach to overseeing technologies’ growing importance to the company’s operations, strategy, and risk. NACD’s 2024 Board Practices and Oversight survey data show that more than three-quarters (76%) of boards with a standalone technology committee said it was either “very effective” (52%) or “extremely effective” (24%) at improving their board’s governance of technology issues.