In the beginning, Reserve matters were strictly considered a national responsibility which the different nations in principle didn't discuss with other nations.
But in the early eighties this attitude changed. One of the consequences of that change was that the NRFC was established in 1981 as an independent, informal group of senior national officers responsible for Reserve matters (whether based on conscription or not) of those nations comprising the "Interallied Confederation of Reserve Officers" (CIOR).
The NRFC was initially founded to support CIOR activity. One of the aims of the first NRFC Chairman was to establish the necessary link between CIOR and the Chiefs of Reserves on the one hand, and on the other hand between CIOR and NATO. For a number of years NRFC continued to meet without official terms of reference but in July 1987 a Memorandum of Understanding was agreed between CIOR and NRFC (presently on the way to be updated on the new international threat).
The question of whether or not NRFC should seek formal recognition by the NATO Military Committee was first raised in 1987 but it was first in 1995 the decision was made to seek accreditation to the Military Committee.
In the intervening years the main objections to seek accreditation were the following:

• the belief that accreditation would formally structure the NRFC as an official body thus limiting the free and unrestricted flow of ideas and viewpoints;
  
• the belief that accreditation would subjugate CIOR and CIOMR to NRFC, which was not desired;
  
• the belief that the NATO matrix already had sufficient committees.

The NRFC consists of the Chairman and a Secretariat, National Delegations and Observers. The International Military Staff (IMS) and NATO Allied Command HQs liaison officers are also involved in NRFC projects. The IMS liaison officer provides the link between NATO and the NRFC. For the time being this includes an observer from the NATO IMS, from the staff of ACO and from the staff of ACT. As of February 2005 the following countries are members or observers (new NATO nations will be part in the future as well):

• Members: Belgium, Bulgaria, Canada, Czech Republic, Denmark, France, Germany, Greece, Hungary, Italy, Lithuania, The Netherlands, Norway, Poland, Romania, Spain, Turkey, The United Kingdom and The United States of America.
• Permanent Observer : Australia.
• Liaison officers : ACO, ACT & IMS.

The Chairmanship of the NRFC is held for a period of two years by one of its member nations. The tenure and rotation are determined by the ex office members. The designated Chairman organises and conducts the meetings and co-ordinates the activities of the Committee; The Chairman is especially in charge of the studies asked for by the Military Committee. The Secretariat of the NRFC is of the same nation as the Chairman and it is appointed by him.
Each delegation is composed of one General Officer. This person should be a senior official responsible for the Reserve Forces of the member nation. He should be in a national decision-making position and able to speak for that nation in deliberations. The head of delegation is assisted by a staff officer.
As previously described the various NATO offices and commands may be invited to maintain the liaison between their respective organisations and the NRFC by appointing one liaison officer. These liaison officers are thus involved in NRFC projects.
Plenary meetings are held at least twice a year. In February, each year, a meeting is held at NATO Headquarters in Brussels. When possible, this meeting will be held at the same time that the CIOR meets, thus facilitating the communication between the two organisations. In summer, the NRFC reserves the right to choose the date and the location of the meeting, either at NATO headquarters, or in one of the NRFC members' cities (when possible). Each plenary meeting is prepared during one meeting of the staff officers either at NATO Headquarters, or in the city chosen for the next plenary meeting - normally together with the CIOR Summer Congress.
As previously mentioned one of the highlights in NRFC history was the signing of the MC 392. In this document the objectives of the NRFC are stated

• To strengthen the readiness of the Alliance Reserves by providing a forum for informal and candid exchanges of information concerning but not limited to:
  
  
  • Mobilisation (organisation, systems, experiences, etc.) ;
    
  • Organisation of peacetime Reserve Forces ;
    
  • Integration, Motivation and Transformation of Reserve Forces;
    
  • Employer Support;
  
  
• To serve as a Committee to provide policy advice on Reserve issues to the Military Committee;
  
• To provide appropriate advice and support to the CIOR, to assist their activities in support of Alliance goals and advise the Military Committee on its relationship with CIOR.

The NRFC does not address strategic, tactical, or operational issues. This is the prerogative of the member nations or the NATO military command structure.