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2012 07 istr pau vidal-improving_boards_2
1. www.observatoriotercersector.org
Pathways for improving Nonprofit
Boards
Pau Vidal
Siena, 12th July 2012
ISTR – 10th International Conference
2. Index of contents
1. The research: need of improving
2. Pathways for improving nonprofit boards in NPOs
The organizational commitment.
The functional strategy.
The relationship with the directive team.
The profiles diversity.
The renewal of the board.
The management of information.
The culture of transparency and accountability.
The culture of evaluation.
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3. Observatorio del Tercer Sector
Observatorio del Tercer Sector is an independent and
nonprofit research center specialized in the third sector. Its
aim is to deepen and increase the knowledge on the sector
and to work for the improvement of the nonprofit
organizations’ management.
Web: http://www.observatoriotercersector.org
Blog: http://www.tercersector.net
E-mail: pau.vidal@tercersector.net
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4. Reason for research: Need of improving
Boards are a key aspect for the development of the
NPOs’ mission and values, the proper functioning and
the accountability.
Still, in many organizations, the management of the
board has not been prioritized due to the pressure of
the management of activities.
It is not enough just to show that things are
progressing accurately and at a high quality level, but
rather it is necessary that the activities are carried
out in accordance with the values and mission of the
entity
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5. Aim and Methodology
Understand the situation of the boards in NPO in Spain in
order to improve their management and role in organization.
Analysis of The different typologies of NPOs (associations and foundations)
the universe and the key informants to interview.
Research of An international search was achieved by compiling current
international publications related to experiences of the boards’ functioning in
referents different countries.
131 NPOs were interviewed and more than 1000 took part in
Collected data the quantitative (Anuari TTS’09). The interviewees are people
who participate in the management or/and board of NPOs with
different roles.
Analysis and
Proposals for improving the management of the boards have
devising of
been created and now we are working with the third sector in
improvement
order to improve the boards of the organizations.
proposals
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6. Main challenges for improving
1. The organizational commitment.
2. The strategic role.
3. The relationship with the directive team.
4. The profiles diversity.
5. The renewal of the board.
6. The management of information.
7. The culture of transparency and accountability.
8. The culture of evaluation.
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8. Improving the organizational commitment
-Clarify and specify the responsibilities of the boards, such as governance
-Distinguish the roles of the governance board and the advising board
-Make decisions based on a board organizational knowledge
-Extend the linking of the boards beyond the attendance to one or two
meetings a year
-Find spaces for the boards’ members in order to know the task of the entity
and the social base as well as to participate within the organization
Proposals
-Clarify expectations and liabilities of the role of members and
board.
-Personalised meetings to clarify expectations.
-Identifying the agenda of the organisation so to know when it
is necessary to invite the board.
-Facilitating the knowledge amongst board, remunerated
staff, voluntary workers and beneficiaries.
-A person in the board dedicated to the other members and to
manage the dynamic within them.
-Creating commissions for subjects: economic, strategic,… 8
10. Improving the strategic role
-Differentiate between the functional strategy and the functional operation
-Define the issues in which the board has to intervene
-Make sure the board is in the most strategic subjects of the entity to draw
up the general policies
-Develop mechanisms to evaluate and monitor most of the operating tasks
-Focus on both the day by day life and the future of the organization through
processes of reflection and strategic planning
Proposals
-Devising the strategic planning of the organization
-Establishing strategic indicators.
-Clarifying which subjects ought to be discussed amongst the
board and which ones are competence of the management
team.
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12. Improving relationship with management team
-Establish good relationships between the board and the directive team
-Constitute relationships between the board and the directive team based on
trust
-Exert a certain degree of taxation of the work of the directive team
-Create a strong bond between the president and the director
-Understand the expectations that rely on the president and the director
-Use tools of transparency and efficiency to guarantee the continuity of the
bond of trust between the two of them
Proposals
-Establishing an open, fluent and transparent relationship.
-Making possible the participation in the board of members of the directive
team depending on the subjects.
-Making evaluations of the directive team, the board alone.
-Making joint evaluations of the board and the relationship with the directive
team.
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14. Improving the diversity of profiles
-Increase the profiles diversity within the boards
-Increase the presence of women, immigrants, youngsters, etc. within the
boards
-Facilitate the representation of the diversity of the social base, specially the
beneficiary people
-Enrich the visions of board and governance by diversifying the profiles
-Be aware of the moment of the organization and the type of profiles that the
situation requires
-Understand and reflect the plurality of society
Proposals
-Incorporating related persons from beneficiaries.
-Making a conscious effort to balance the issue of gender.
-Analysing the knowledge and skills of the current members
to identify which profiles are needed to be incorporated.
-Thinking to add different complementary profiles regarding:
age, vital trajectories, origin… 14
16. Improving the renewal of the board
-Establish mechanisms to guarantee non-traumatic relays
-Understand the necessity of generational renewals
-Create criteria of renewal besides the low degree of attendance to the
meetings
-Avoid perpetuation in the boards, specially in leadership positions, where it
becomes more difficult to find relay
Proposals
-Commission of the board to attract new members.
-Establishing closed periods of participation in the board.
-Identify profiles that are needed for a renewal of the board.
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18. Improving the management of information
-Achieve the equilibrium between briefing and quality
-Avoid confusion with far too much information
-Select the information that ought to be generated and distributed within
specific members of the board
-Use of new technologies to informate and communicate
-Understand that the right information is crucial to make right decisions
Proposals
-Making more than 2 meetings per year.
-Creating commissions for concrete subjects.
-Sharing information before the meetings.
-Using the new technologies.
-Thinking specific products of communication for the board.
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20. Improving transparency & accountability
-Generate public trust through explaining the activities realized
-Be transparent in front of society
-Accountability in front of society
-Make an organizational value out of the culture of transparency
-Understand the added value that suppose transparency and accountability
-Include the culture of transparency and accountability in every process
Proposals
-Identifying the stakeholders for accountability.
-Involving board and team in the matter of transparency.
-Describing the channels in order to create public awareness
of the organization.
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22. Improving the culture of evaluation
-Include the culture of evaluation within every process, specially within those
related to the management of the boards
-Develop tools to evaluate the boards
-Take into account the evaluation of the whole social base involved in the
functioning of the entity, including technical teams, members of the directive
team, etc.
-Introduce the idea of self-evaluation within the boards
Proposals
-Meetings for evaluation of the board on a periodical basis.
-Establishing functional indicators of the board.
-Picking up the vision of the ones involved in the organization
in relation with the board.
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