© 2012. not to be distributed or reproduced without the express permission of boardsource
TRANSCRIPT
Creating a High Performing Board
© 2012. Not to be distributed or reproduced without the express permission of BoardSource.
1. Determine the organization’s mission and purpose.
2. Select the chief executive.3. Provide proper financial oversight.4. Ensure adequate resources.5. Ensure legal and ethical integrity
and maintain accountability
Ten Basic Board Responsibilities
Ensure effective organizational planning.
7. Recruit and orient new board members and assess board performance.
8. Enhance the organization’s public standing.
9. Determine, monitor, and strengthen the organization’s programs and services.
10.Support the chief executive and asses his/her
Responsibilities of Boards
Agenda
I. Board/Staff Partnership
• Ingredients of an Effective Partnership
• Governance v. Management
• Leadership Transitions
II. Strategic Board Building
III. Diversity Matters
To Increase our understanding of the following Characteristics of an Effective Board/Staff
Partnership The Difference Between Governance &
Management Considerations for Leadership Transitions How to Strategically Build the Board Why Diversity and Inclusion Matter
Learning Objectives
I: Board/Staff Partnership
• Elements of an Effective Partnership
• Governance vs. Management
• Leadership Transitions
The chief executive actively involves the board in leading the organization.
Choices:1. Strongly disagree2. Disagree3. Agree4. Strongly Agree
Poll: What do you think?
Putting the Partnership in Perspective
In today’s world, teamwork is key to achieving success
Achievement of the organization’s mission depends on the board-staff partnership
Key Elements of Effective Board/Staff Partnerships
1. Make Mission Matter
2. Know the Organization
3. Inform and
Communicate
4. Assess Performance
Establish expectations:Communication
stylesFrequency of
reporting and meetings
Functions where the chair is expected to participate
Shared and individual priorities
Board Chair as Partner
• Develop a strategic plan and adhere to it.• Link the current agenda to the strategic
agenda.• Develop clear expectations and a plan of
action for the board of directors.• Prepare materials and structure meetings to
direct the board's attention to matters of policy and strategy.
• Develop and use a consent agenda.• Focus on policy objectives, organizational
strategy, and the relationship between budgets and priorities
• Assess the chief executive.
Govern More and Manage Less
Plan for Transitions
Leadership transitions are the responsibility of the board
Every CEO leaves sooner or later
Succession planning in the nonprofit sector does not equal internal grooming
13
You have the right people to effectively oversee and govern the
organization.
Choices:1. Strongly agree2. Agree3. Disagree4. Strongly Disagree
Poll: What is your opinion?
Board Needs 1 2 3 4 5 6 A B C D E F
Age
19-34
35-50
51+
Race/Ethnicity/Disability
African American/Black
Asian/Pacific Islander
Caucasian
Hispanic/Latino
Community Connections
Religious organizations
Corporate
Media
Political
Areas of Expertise
Financial
Fundraising
Marketing
Program focus
Current Members Prospective
Members
S A M P L E
Step 4: Orient
To the organization:
History ProgramsPressing issuesFinancesFacilitiesStructure
(organization chart)
To the board: Committee
structureBoard member
responsibilitiesList of board
members and key staff
BylawsRecent minutes
5 and 6: Involve & Educate
Involve them in committees or task forces.
Hold everyone accountable. Promote exploration of issues
facing the organization. Hold retreats and encourage board
development activities by sending board members to seminars and workshops.
Steps 8 and 9:Rotate & Celebrate!!
ROTATE and CELEBRATE!
Establish term limits (and enforce them!).
Do not automatically re-elect for an additional term; consider board needs.
Develop new leadership.Appreciate individual contributions
– of the board, organization, and community.
Board Composition
Source: BoardSource Nonprofit Governance Index 2010
Under 30, 2%
30-39, 12%
40-49, 29%50-64, 43%
Over 65, 14%
In order to function at the highest level, nonprofit boards need to ensure that their members represent diverse points of view.
It is not enough however, to “diversify” a board; boards must be inclusive in their policies and practices, thereby creating a culture that encourages and nurtures diverse expression.
BoardSource Hypothesis
Diversity v Inclusion
Diversity (noun) describes a state of being, i.e. consisting of a variety.
Inclusion (from the verb include) is about behavior and action. Just because your board is diverse, does not mean that the board fosters inclusiveness.
Why Diversity Can Backfire…
“…diversity leads to more innovation, more outside-the-box thinking and better governance… To unlock the benefits…boards must learn to work with colleagues who were selected not because they fit in—but because they don't.
Excerpt from “Why Diversity Can Backfire on Company Boards” by Jean-Francois Manzoni, Paul Strebel, and Jean-Louis Barsoux, Wall Street Journal (January 25, 2010).
Action Steps
Assess culture & identify barriers to inclusion
Develop detailed plan of action
Commit to diversity and inclusion as an ongoing initiative
Implement policies and procedures
Assign Roles & Responsibilities
Board Chair and Chief Executive As partners in leadership
Governance Committee As conscience of the board
The Board Collectively As teammates with shared purpose,
authority, and accountability
2010 Governance IndexHas your organization or board done the following? Yes No
Incorporated diversity into the organization’s core values
62.9% 37.1%
Modified organizational policies and procedures to be more inclusive
55.8% 44.2%
Conducted diversity training for board members 12.1% 87.9%
Developed a detailed plan of action for the board to become inclusive
14.8% 85.2%
Resources
The Board Building Cycle, Nine Steps to Finding, Recruiting, and Engaging Nonprofit Board Members: Berit M. Lakey Ph. D.
The Governance Committee By: Berit M. Lakey Ph. D., Sandra R. Hughes Ph.D., Outi Flynn
Building the Governance Partnership: The Chief Executive's Guide to Getting the Best from the Board By: Kathleen A. McGinnis, Sherrill K. Williams
Vital Voices: Lessons Learned from Board Members of Color By: Vernetta L. Walker, Deborah J. Davidson
Diversity in Action E-Toolkit
See you next week!
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