1. Evaluating & Improving Your Board’s Performance © Copyright 2011, NorthSky Nonprofit Network All rights reserved

2. Acknowledgements Governance as Leadership BoardSource NorthSky’s work & shared learning

3. Goals for today Review a few governance models Discuss transformational governance Discuss options for evaluating Board performance Introducing change Discuss how to develop a performance improvement plan

4. “A good Board is a necessity not a gift.” Cyril O. Houle Governing Boards

5. Why is transformational governance essential? The Board of Directors is responsible! But.. 1.So many how-to-govern books yet widespread disappointment with board performance 2.Nonprofits go to great lengths to recruit best and brightest directors yet report they are under-utilized 3.Boards asked to better do their work yet frequently performing management functions while executive, or perhaps no one, performing leadership functions

6. What is transformational governance? Governance as Leadership Richard Chait, William Ryan, Barbara Taylor A BoardSource Publication Reframes the work of nonprofit boards From To think/govern like managers think/govern like leaders

7. What is Governance as Leadership? Boards of Directors provide leadership by engaging in three types of thinking Fiduciary Strategic Generative Type I Fiduciary Type II Strategic Governance as Leadership Type III Generative

8. Source: Board Source

9. Organizational Life Cycle StageCharacteristics Conception/ Infancy Voluntarily coming together to solve a problem; high energy & enthusiasm Infancy Founder in charge; work expands beyond what the founder can do Puberty Org. expands but is awkward in dealing with coordination & external affairs; professional management emerges Young Adulthood More formal management, policies, and procedures; emerging politics Adulthood Mastering environment; serving clients; established management; New ideas contemplated; high energy; risk- trying to be everything

10. Organizational Life Cycle StageCharacteristics Late Adulthood Excitement beginning to wane; Past valued over innovation; Complacency; no sense of urgency or need Old Age Diminishing ability to serve others; Lack of cohesion among leaders; Little energy available for renewal and reversal of situation Revitalization Revitalization of mission; re- defining service niche

11. Shared understanding Identify the gap between perceived & actual Means to start the discuss/ engage the Board Any other reasons? The Board Self Assessment: Why?

12. Led by Board (Board chair or Governance Committee) Establish a process that collects honest input Customize for your Board Repeat annually The goal is continuous improvement; use the results The Board Self Assessment

13. What questions would you ask? What information would you collect? The Board Self Assessment

14. The Board Development Plan Review board assessment results together Identify other identified board practice needs (example: execute strategic plan; hire new ED) Discuss the desired culture and practices for the board Set goals for the year (examples: training, practices- reports, new members) Check in regularly about progress against goals Build team dynamics – spend time together socially, engage every board member in an assignment

15. What are a few change management principles? Most people resist change Change is resource intensive The case for change needs to be made strongly and clearly Involve people in planning for the change Don’t over promise You can’t communicate enough

16. Performance Improvement: Behind the Scenes Activities Individual meetings Individual or select training Technical support Fact finding: meetings with other Boards

17. What are key elements of performance improvement? Clear role descriptions Shared strategic direction/ plan Agreed upon performance goals Track and report Celebrate

18. Source: Board Source

19. Thank You Contact NorthSky at: www.northskynonprofitnetwork.org 231.929.3934, x 208 Pam Evans pevans@northskynonprofitnetwork.org www.northskynonprofitnetwork.org NorthSky Nonprofit Network, a program of