Having worked with many charities in the past ten years, there is one topic we always need to discuss and work on: governance. However strong your charity’s leadership, no board is perfect, and issues range from trustees who are too involved in the day-to-day running of the organisation to those who cannot commit the time to really pull their weight.
So how can you have, or be part of, an effective board?
During Trustees Week, we set about answering that question. At our Governance event on Tuesday 3rd November we brought together a panel of experts to discuss their experience and insights into governance. The panel consisted of Dominik Opaliński, Partner in the Charities Team of Hunters Solicitors, Geeta Gopalan, who sits on a number of private and third sector boards, and Toni Mullally, Chief Executive of Hillingdon Autistic Care & Support.
The conversation flowed for a couple of hours, but there were four main themes the speakers agreed on which I think are crucial for any board that wants to be the best it can be.
1. Understanding the role of the board, individual trustees and senior management team:
- Be clear that the CEO/senior management runs the organisation and the board oversees their efforts.
- Have a clear and transparent reporting process and open relationship from the executive teams that enable the non-execs to exercise their responsibility.
- For the board, focus on the fiduciary, strategic and to some extent generative aspects of the organisation’s activities and provide clear guidance and support.
- As Chair, be a referee and facilitator, making sure everyone is involved and knows what the Chief Executive needs.
2. Effective delivery of the organisational purpose:
- Ensure every board member understands and believes in the aims and objectives of the organisation.
- Oversee that services and activities are aligned with the charity’s objectives.
- Have a clear collective vision for where the organisation is going.
- Make sure that a strategy, operational plan and budget are set and, as a board, they are monitored.
3. Individual and team effectiveness:
- Get involved in and understand the charity's work, mission and team.
- Don’t be afraid to question, seek clarifications and, above all, challenge.
- Be supportive of the team through 'bringing the outside in', i.e. providing sector perspective, bringing insight into particular areas/subjects where possible and helping make connections and introductions.
- Define roles and make them understood by all. Auditing skills across the board can support this, especially since the skills needed will change over time.
- Ensure the board has a collective responsibility instead of individual responsibilities and are working as a team.
4. Covering the basics:
- Exercise effective control to guarantee compliance with charity law.
- Behave with integrity and make decisions that benefit the charity and its beneficiaries.
- Be open and accountable by understanding who is responsible for what and checking up on delivery of these responsibilities.
Governance is not easy and every board has room for improvement. Measuring your charity’s board against these four areas offers a useful starting point for getting it into shape and ultimately providing a better organisation for those you serve.