Published on February 28, 2014
BOARD EVALUATION Bill Taylor, UW Area Community Development Educator
References • The Handbook of Nonprofit Governance by BoardSource, published by Jossey-Bass, 2010 • The Board Chair Handbook, Second Edition by Mindy R. Wertheimer, published by BoardSource, 2008 • The Nonprofit Board’s Role in Mission, Planning and Evaluation, Second Edition by Kay Sprinkel Grace, MA; Amy McClellan, MNO; John A. Yankey, Ph.D., 2009 • The Board Building Cycle: Nine Steps to Finding, Recruiting, and Engaging Nonprofit Board Members, Second Edition by Berit M. Lakey, published by BoardSource, 2007
References (cont.) • Evaluating Board Performance by Bob Cropp, Director, University of Wisconsin Center for Cooperatives, January 1966 at http://www.uwcc.wisc.edu/issues/Governance/board.ht ml • Board Performance Evaluation; Private Sector Opinion, Issue 9 by the International Finance Corporation at http://www.gcgf.org • Corporate Governance: A Primer on Board Member Evaluation by Bill Capps and Rob Steinberg of Jeffer, Mangels, Butler & Mitchell LP at http://about.bloomberglaw.com/practitionercontributions/corporate-governance-a-primer-onboard-member-evaluation/
“Exceptional boards embrace the qualities of a continuous learning organization, evaluating their own performance and assessing the value they add to the organization.” The Source: Twelve Principles of Governance That Power Exceptional Boards
EXCEPTIONAL BOARDS • Results-oriented • Measure overall efficiency, effectiveness, impact, outcomes • Can’t afford complacency – keep discovering ways to increase their value
EVALUATION “Figuring out something’s worth by looking at it carefully.” • Assessing the effectiveness and performance of the organization, its programs and its services
POTENTIAL • Identify issues pushed aside during normal business • Identify strengths & weaknesses affecting optimal performance • Keep the board focused, on track • Allow board chair, members, & chief exec. to assess growth & progress in their roles
POTENTIAL (cont.) • Reinvigorate individual board members to take responsibility as part of the team • Reinforce that the board takes its work seriously & models good governance
WHEN • Varies with organization • Suggested: – Brief evaluation annually – Extensive every 2-4 years
WHO • • • • Governance committee Ad hoc committee Outside consultant Board chair and the membership in partnership
LEVELS • Organizational – extent to which the organization has met its stated goals & objectives & how well it performed in the process • Programmatic – efficiency and outcomes of various or individual programs • Board – how well the board as a whole is functioning and understanding its role
LEVELS (cont.) • Individual Board Member – how well each member is fulfilling his job description • Board Chair – is the chair a good leader and facilitator? • Chief Executive – how well is the chief executive fulfilling their job description and assisting the organization to their annual goals?
LEVELS (cont.) • Levels can be coordinated, mixed, or only certain ones performed, according to needs and structure of the organization
ORGANIZATIONAL EVALUATION • One method – dashboard reporting – Attached to meeting agenda – 1-2 pages – graphs, charts, tables, columns, limited text • Showing progress toward goals & objectives – Indicators to monitor: • • • • Finances Programs Quality control Human resources
ORGANIZATIONAL EVALUATION (cont.) – Benefits of dashboard reports: • • • • • Supports planning Identifies performance drivers Prioritizes information Identifies problems early Increases efficiency *ORGANIZATIONAL EVALUATION EXERCISE – 15 minutes
PROGRAM EVALUATION • Provides accountability to funders • Takes subjectivity out of justifying the organization’s existence • 2 components – Outcomes measurement • How a program is working – its results – Performance measurement • The inputs & outputs of a program • Quality & effectiveness of the program implementation
PROGRAM EVALUATION (cont.) • Based on qualitative & quantitative data • Methods – Surveys, interviews, focus groups, pre- & post-tests, observations, assessments of products from program participation
BOARD SELF-ASSESSMENT • How well is the board meeting its responsibilities? – Examine: • • • • • • Composition Identification & recruiting of new members Relationship w/ constituents/stakeholders Relationship w/ chief executive Does committee structure work? Are meetings well run?
BOARD SELF-ASSESSMENT (cont.) • Questions: – Is board clear about its roles & responsibilities? – Members familiar and in support of mission? Is mission appropriate for organization in 2-4 years? – Has board engaged in setting a strategic direction? Is there a vision of the strategic evolvement of the organization over the next 3-5 years?
BOARD SELF-ASSESSMENT (cont.) • Questions (cont.) – Is board knowledgeable about the programs? Is there effective processes for tracking program performance? – Does board understand the finances & resource strategy? Do all members participate in any fundraising? – Does budget reflect priorities of strategic or annual plan? Are financial controls in place? Are there established investment & risk management policies?
BOARD SELF-ASSESSMENT (cont.) • Benefits: – Moving from micromanaging organization’s work & directing focus on governance – More engaged & higher-performing board – Developing team-building skills & better problem-solving structure – Showing stakeholders board members take responsibility seriously – Improved board-staff relations
BOARD SELF-ASSESSMENT (cont.) • Benefits (cont.): – Clarification of division of labor – Identification of board structures needing improvement – Development of an action plan
BOARD SELF-ASSESSMENT (cont.) • When: – Every 2-3 years – Exploring roles & responsibilities – Identifying gaps in performance – Discovering problems – Developing plans for the future
BOARD SELF-ASSESSMENT (cont.) • When (cont.): – Critical points: • In early stages of the organization’s life, especially when hiring the 1st staff • There is confusion about which responsibilities belong to the board and which to the staff • During changes of leadership on the board or of chief executive • When doing strategic planning
BOARD SELF-ASSESSMENT (cont.) • Techniques: – Mini or complete assessment • Easy to complete surveys • Anonymous responses to encourage candid comments • Compiled in report to board • Sample from The Handbook of Nonprofit Governance • Culminate w/ extended board session or retreat to discuss & identify action steps – Regular board training
BOARD SELF-ASSESSMENT (cont.) • Techniques (cont.): – External Audit • Engage expert in governance • Review articles of incorporation or establishing resolution, bylaws, observe board & committee meetings; interview officers, board members, former board members, & chief executive • Written/oral report to board and chief executive • BoardSource provides online and custom evaluations – www.boardsource.org
BOARD SELF-ASSESSMENT (cont.) • Techniques (cont.): – Evaluating board meetings • 10-15 minute item on each agenda for discussion – “Ideas for Improving the Board” • Feedback form or round of comments at end of each meeting – 2 questions: » “The thing I most liked about this meeting was…” » “One thing that could have improved this meeting was…”
BOARD SELF-ASSESSMENT (cont.) • Techniques (cont.): – Evaluating board meetings (cont.) • Items to address: – – – – – – – – – Dealt w/ issues of substance & strategic importance? Run efficiently? Used board member’s time wisely? Well organized? Background materials available in advance? Begin & end on time? Everyone’s voice heard or did a few dominate? Issues were discussed & debated? Was something achieved? *Board Meeting Evaluation Exercise – 2 minutes
BOARD SELF-ASSESSMENT (cont.) • Outcomes of a good board assessment: – Measure progress – Identify areas needing improvement – Establish goals for the future – Remind members of their responsibilities – Reshape operations – Build trust, facilitate communication – Identify strategic planning initiatives
BOARD SELF-ASSESSMENT (cont.) • Outcomes of a good board assessment (cont.): – Improvements in monitoring program effectiveness – Enhanced board meetings & more effective use of committees – Improvements in process of reviewing chief executive’s performance – Strategies for more intentional board recruitment – Establishment of a governance committee & and a more thoughtful nomination process *Full Board Evaluation Exercise – 8 minutes
BOARD MEMBER EVALUATION • Two methods – Self-assessment • Based on the board member job description or the individual section of a board assessment instrument • Sample from The Handbook of Nonprofit Governance
BOARD MEMBER EVALUATION (cont.) • Two methods (cont.) – Peer evaluation • A brief anonymous survey – each board member rates others on items such as: – – – – – – Attendance Preparation Follow-through on assignments Quality of participation in discussion Interactions w/ other board members Interactions w/ staff • Results tallied & shared privately w/ each board member * Board Member Self-Evaluation Exercise – 15 minutes
BOARD CHAIR EVALUATION • Benefits: – Clearer view of the position & its requirements – Clarifies the work of the chair & where improvement is desired – Helps prevent informal mumbling & private discussions about the chair
BOARD CHAIR EVALUATION (cont.) • Focus: – Facilitation skills – Relationships & interactions w/ board members – Use of board work structures – Use of governance practices
BOARD CHAIR EVALUATION (cont.) • Handled by fellow board members (never the chief executive) • Anonymous survey • Communicated directly to chair in private discussion
CHIEF EXECUTIVE EVALUATION • Job description – Must be clear, unambiguous – Basis for evaluation and measurement • Expectations – Annual expectations should be listed to identify priorities and projected accomplishments
CHIEF EXECUTIVE EVALUATION (cont.) • When – End of fiscal year • What to evaluate – – – – – – Success in meeting organization’s overall goals Strategic alignment w/ board’s directives Accomplishment of management objectives Programmatic & fundraising achievements Fiscal management Relationship w/ board, staff, community
CHIEF EXECUTIVE EVALUATION (cont.) • Process – Organized by board chair – Should fit the culture of the organization – Should enhance working relationship between board & chief executive – Determine which instruments to use, who should be involved, how results will be communicated – 2 components • Self-evaluation • Board member questionnaire – Comments compiled, tabulated
CHIEF EXECUTIVE EVALUATION (cont.) • Written report – Shared privately with chief executive • Placed in personnel file – Provided to entire board
Canvas Prints at Affordable Prices make you smile.Visit http://www.shopcanvasprint...
30 Días en Bici en Gijón organiza un recorrido por los comercios históricos de la ...
Con el fin de conocer mejor el rol que juega internet en el proceso de compra en E...
With three established projects across the country and seven more in the pipeline,...
Retailing is not a rocket science, neither it's walk-in-the-park. In this presenta...