NGO Governance Blog

Boards as Community Builders

Marilyn Wyatt — Tue, 11 Nov 2008 10:58:19 +0000

It was a great time to be in the United States last week! Not only the BoardSource Leadership Forum, but the U.S. presidential elections were taking place. At the Leadership Forum there was an excitement in the air that gave all of the sessions a special charge. I heartily enjoyed the succession of superlative speakers and social events, which were aply spiced up with networking opportunities (best of all with other Global Forum members!).

For me the big take-away from the meeting was how much we can learn about governance in big and small ways from other nonprofit leaders, even if they’re working in completely different countries and mission areas. For example, a Native American talked to me about how a simple handshake in her community is done so much differently than in mainstream America. Outsiders who learn to shake properly are regarded as showing deep respect for and acceptance of her culture and are welcomed the same way in return.

Isn’t this true all over the world--that working effectively in groups and on teams means learning to take each other’s hands and bind together with respect and acceptance? This at least was the message of the moment in Washington last week, and now back home I’ve continued to think about and delight in this insight. In the nonprofit world all of us in some way take the hands of strangers and offer goodwill and dignity along with more concrete forms of assistance. It’s not hard to extend this image to our boards and realize that, even metaphorically speaking, a board that joins hands around the table has taken the first step to building a warm and effective community within their organization.

Then the next question to ask is: What form does this handshake take?

Please stop by the poll on the home page and let us know whether your organization has a code of conduct. Feel free to post your own message on this site about whether it’s effective or not!

Governance Review

Daniela Costa — Thu, 23 Oct 2008 10:11:13 +0000

My name is Daniela Costa and I work for ActionAid International, an international anti-poverty agency whose aim is to fight poverty worldwide. Formed in 1972, for over 30 years we have been growing and expanding to where we are today - helping over 13 million of the world's poorest and most disadvantaged people in 42 countries worldwide.

We believe that poverty and injustice must be tackled at local, national and international levels. We can do this more effectively if we have a truly international ActionAid which is collectively owned and governed by the various national ActionAids.

My work mainly focuses on institutional governance and my Unit supports the development of our international and national governance structures.

Whithin AAI we require every Board to undergo a governance review annually and I have been involved in few of them. We have written an article on it and I would like to share with you why we believe a Board should asses itself, what this assessment should entail and tips that we usually share with our Boards. There we go….

One of the main roles of the Board besides governing the organisation is to ensure self-governance. An effective Board ensures good governance practices, which is essential for effective organisational performance.

Regular Board evaluation provides a unique opportunity for the Board to see if it is adding value to the effectiveness of the organisation and it is also an important tool for continuous learning in the organisation.

An effective evaluation must:

· assess the performance of the Board in relation to its duties, responsibilities and clearly stated objectives;

· encourage accountability, identify required organisational changes and potential new governance initiatives;

· identify areas which require development and support/skills needs for the Board;

· evaluate the current and future leadership needs of the organisation;

· build trust and enable Board members to work more effectively as a team;

· provide a strategic approach for Board evolution;

· recognise and identify opportunities for motivating and retaining Board members

· help the Board to review its annual plan;

· recognise and reinforce success.

Few tips

1. Bear in mind that the most important evaluative question is this: “Is the Board adding value to the effectiveness of the organisation?”

2. The objective of an evaluation should be clearly defined, and all aspects of the evaluation should be linked to the stated objectives.

3. The Board should take time to identify what it would consider as ‘good performance’ while setting objectives to build a framework for the evaluation

4. The Chair, Vice Chair and members of the Governance Committee have a fundamental role to play in the Board evaluation.

5. The Terms of Reference for external consultants must be very clear about the objectives, time frame for execution and the methodology.

6. Evaluation must lead to tangible improvements and an action plan based on recommendations.

7. The evaluation is not an end-in-itself. The follow up requires significant time and commitment.

8. Evaluating your own Board may seem to be easy. However, it may also raise complex issues.

Do you have anything to add to it? I would like the community to treat this document as a working in progress. If you have experience with Board assessment, please share your thoughts with us.

Ate mais,

Daniela

Source: ABC newsletter , ActionAid International

The Effectiveness of Codes of Conduct

Marilyn Wyatt — Sun, 12 Oct 2008 11:05:37 +0000

Many thanks to all of you again who shared ideas about introducing codes of conduct to boards. I worked with a board last weekend that wanted to adopt such a code. We spent nearly three hours discussing what its content might be and the best ways to enforce it. I shared several of the samples you sent as well as other that I found on the Global Forum on NGO Governance.

In the end the group opted for a combination of elements from several of the shorter codes. They also signed a “memorandum of understanding” with each other that outlined some expectations for respectful behavior, confidentiality, chair authority, and so forth. Let’s hope it works for this board! They’ve had some problems with disruptive behavior.

The question of whether boards should write their own codes or sign on to ones promoted throughout a larger community is an interesting one. In my view it goes to the heart of the issue of self-regulation. Most of you voiced a preference for codes that boards write themselves. But I’m not convinced that community-wide codes aren’t more effective in promoting ethical standards and best practices. Aren’t stakeholders better served and better able to exert influence by having a common measuring stick rather than one that’s customized for each organization?

I’m not sure what the answer is. But I do know that in recent years in the U.S. we saw a proliferation of codes of conduct, on the principle that no one size fits all. One need only look at the website of Independent Sector to get a feel for how many are out there. But then with the big scandals among foundations and other nonprofits a few years back, which were followed by the threat of Congressional action, a common set of expectations suddenly seemed a lot more palatable—and a safe bet at warding off new regulation. The Panel on the Nonprofit Sector convened by IS issued its Principles for Good Governance and Ethical Practice, and similar efforts followed, such as the Council of Foundation and European Foundation Center’s Principles of Accountability.

These are great documents but I don’t know how big an impact they’ve had in terms of actually promoting more ethical behavior. Do any of you have good examples of community-wide (i.e., sectoral or sub-sectoral) codes that have actually worked?

Difficult Board Members

Marilyn Wyatt — Thu, 04 Sep 2008 09:54:42 +0000

The spirited discussion about dealing with difficult board members has reminded me of that old advertisement for deodorant soap: “Aren’t you glad you use Dial. . . . Don’t you wish everyone did?”

It’s nearly impossible to find a board member who admits to a poor standard of hygiene regarding his or her performance on the board. Even trustees who are passive, disruptive, or domineering say they’re motivated by the best of intentions. Or they’re convinced they have something irreplaceable to offer—ideas, leadership, their good name. Suggesting that the difficult board member change her behavior or resign is about as easy as telling a friend that he’s not bathing often enough.

So what’s the best recourse: leave out a sweet-smelling bar of soap and hope that it’s used?

We’ve had some good suggestions from our forum members—first of all, about how to fabricate the bar of soap. Letters of commitment and codes of conduct are two items that can generate a fresh and pleasing fragrance around the board table. Even when not strictly enforced, they’re like a strong bar of soap wrapped in attractive packaging. It smells nice and diverts attention from the source of the odor . . . until the perfume eventually wears off.

A longer-lasting solution is a good scrub that sloughs off malodorous habits that don’t sit well in a group. A board self-evaluation or counseling by the chair offers the opportunity for such a cleansing. Howeover, as most of us are sensitive to the discomfort of bathing in public, we seek ways to allow the offending board member to stay safely clothed in front of fellow board members. A depersonalized group focus or a private session shields him from embarrassment while presenting evidence he should clean up his act.

The all-too-familiar worst-case scenario is when the unwashed board member just doesn’t take the hint and persists in old ways. Several respondents have suggested that, in this case, the best solution is just to ask the board member to leave the room. Term limits and rules of rotation are a good way to ensure that the difficult board member doesn’t stick around for too long. But a frequent objection to mandatory retirement is that the board loses good members along with the bad—a classic example, perhaps, of throwing out the baby with the bath water?

If only such measures weren’t needed and board members realized the unpleasant effect that bad behavior can have on the rest of the board! Don’t you wish everyone did?

VOICE YOUR OPINION BY TAKING PART IN OUR LATEST POLL : Should there be a limit to the number of years a person can serve as a board member?

Handling Surprises at Board Retreats

Marilyn Wyatt — Sun, 03 Aug 2008 09:28:42 +0000

I’m in the midst of planning several consulting jobs this fall, and it occurs to me that planning a board retreat is a lot like strategic planning. Sometimes unexpected circumstances ruin even the best-laid plans. Then the consultant (like an organization) has to think quickly and respond flexibly without losing sight of the ultimate goal—engaging a board meaningfully in its own work.

A few years ago I was invited to facilitate an orientation for the board of a well-known NGO. The chair knew that an induction retreat could help integrate new members while offering a refresher course to returning trustees. So I developed an agenda that included the usual topics: a definition of good governance, a review of board roles and responsibilities, protocols for meetings and committees.

Alas, at the start of the day, some parenthetical remarks nearly upset the entire plan. In my opening comments I outlined what the bylaws said about governance and the board. To my surprise, it turned out that no one had ever read the bylaws before, and what they said were in stark contradiction to the way the board currently operated.

Disagreements immediately flared about whether the board or the bylaws were more out of line. Dismayed, I could see the good feeling of the day go up in smoke, along with my carefully planned agenda.

On the brink of disaster, I did what always works best in such moments: I called for a coffee break.

When we reconvened, the group quickly decided to chuck the agenda and spend the rest of the day revising the bylaws. It was hard work, but by 5 p.m. we had made significant headway. A tired but satisfied mood filled the air.

In the end, it was so clearly a richer day than I’d originally planned that I was grateful for the disruption. The trustees weren’t just hearing about good governance but were actually practicing it by critically reviewing their own bylaws. In the process, they got to know each other and the organization much better.

As for me, I learned how important it is, as a consultant, to stay nimble and responsive to change so long as you realize your ultimate purpose. Of course, it’s always preferable to have an agenda to guide you—but when the unforeseen comes along, far better to earn a few grey hairs on an uncertain path than stick to a plan that no longer applies. Provided, of course, there's time for an occasional coffee break!

Meet Your Blogger

Marilyn Wyatt — Thu, 10 Jul 2008 15:56:28 +0000

Greetings all guests and supporters of the Global Forum on NGO Governance! I’m honored to take part as a regular contributor to this site. I’m a governance consultant based in Belgrade, Serbia, and Prague, Czech Republic. My activities ranges from facilitation at board meetings to help with strategic planning, self-evaluations, and board orientations—in short, any activity in which NGO boards engage and might need some help.

Granted, it’s a specialized line of work that not many people have heard of. I first got my start at BoardSource, where I was director of global programs in Europe and Asia. When my family moved to Central Europe six years ago, I realized that there was a big need for consultants who could supply services—and sometimes simply moral support—to new and relatively inexperienced board members in this region. I started working in countries such as Ukraine, Hungary, and Croatia and since then have gone on to work with boards throughout Europe, the Middle East, and Asia. My clients range from small grassroots organizations to large foundations and international schools.

I love what I do because it allows me to look into the very heart of an NGO and help its leaders deal directly with knotty problems they may have overlooked or prefer to ignore. Because it’s a new and small field—not to mention that we deal with issues that can be very country- or organization-specific—those of us who consult with NGO boards often feel that we must improvise or ad-lib in our work.

But that’s what keeps it exciting and challenging! In future posts I look forward to sharing my experiences as a consultant and hearing from those among you who also provide support and services to NGO boards—whether as a consultant, board member, executive director, or simply as a supporter of good governance.

Welcome to the NGO Governance Blog

Kathy Hedge — Mon, 09 Jun 2008 17:27:35 +0000

We are pleased to add this new blog to the Global Forum on NGO Governance. This will be a dedicated area for various experts in the NGO sector to contribute their opinions and ideas on NGO boards and governance.

We know that there are a number of approaches to good governance and to strengthening the way boards function. Given the diverse cultural contexts around the world, and the diversity of NGOs themselves, boards vary significantly. This new NGO Governance Blog will present different views and opinions from people who have significant experience serving on and working with NGOs and their boards.

We will start the NGO Governance Blog with a few featured contributors, and we hope to expand to others in the coming months. If you are interested in becoming a contributor, please contact us. Thank you!

Kathy Hedge, BoardSource