The Director Who Reads the Summary

The issue Nearly every director now uses AI for board work, and an obvious use, having a model digest the pack, hands over the one task Australian law says a director must do personally. Why it persists A digest looks like preparation and shows no trace of what it left out, so the cost stays invisible until a figure that mattered turns out to have sat in the pages nobody read. What to do Read the pack first and question the model second, about what you missed; if the pack is too long to read, ask management for a shorter one rather than a private summary.In 2007 the directors of Centro approved accounts that classified some $1.5 billion of short-term liabilities as non-current, and that failed to disclose guarantees of about US$1.75 billion given after the balance date (Australian Securities and Investments Commission v Healey 2011, para 9). They had a chief financial officer, a finance team, and PricewaterhouseCoopers as auditors. The Federal Court still found that they had failed in…