As a leader of your board, you’re responsible for the obligation of ensuring that the board members have the knowledge they require to fulfill their roles and fulfill their obligations. This includes ensuring the board gets what it needs from the management. Ideally, that means conducting regular Board Effectiveness Reviews.
A thorough evaluation process can assist the board in getting an understanding of the issues that could hinder http://yourboardroom.ne the board’s performance. They can range from simple operational complaints like the length of meetings or the agendas of the board to more complex concerns about how the board functions and gaps in knowledge and skills on the board. It could also signal the need for new directors or adjustments in director assignments already in place.
The board must be clear on the goals of its evaluation and should guide the process – with the support of senior managers who communicate with the board on a regular basis. The board should decide to review the results in conjunction and resolve any issues that arise.
A recent study based on nine years of self-evaluation information for boards from a top Australian consulting firm specializing in corporate governance services. It revealed 11 reliable elements that contribute to the effectiveness of boards. Six of the factors were solely or mostly Leblanc and Gillies (2005) “how” item, which is a reflection of distinct ways for boards to be effective. These include teamwork and communication within the board and leadership by the chair committee leader, effective meetings, self-assessment of the board and efficient record keeping and management of information.