1. Governance Ikram ul Haque Syed Associate IPS-Islamabad
CEO Centric Consulting
Director MP&Co Audit Firm
Trainer-consultant AGPR

2. It’s a system
System through which organizations are directed and controlled in the best interest of Stakeholders

3. System
Set of interrelated component working together to achieve desired objectives

4. To direct…… Set direction Directing must be Using established
Rules , regulations , Principles
Good Practice
Directing must be
Objective
Independent

5. To Control…. Using the direction Controlling is
Achievement of objectives
Maintaining Effectiveness
Achieving Efficiency
Controlling is
interest oriented
Dependent

6. Expectations of stakeholder
Setting objectives
Reason of existence 1
Mission 2
Vision 3
Goals 4
Objectives
Intentions
Expectations of stakeholder
Quantification
Of Goals

7. Governance and structures
Accountability
Responsibility
Transparency
Information
Governance
Structure

8. What is governance?
Broadly, the way that power is taken on and used by the leaders of an organisation
Specifically for community based organisations, it refers to the structures and processes that are used to steer the organisation

9. ‘Good governance’ is…
‘A transparent decision-making process in which the leadership of an organisation, in an effective and accountable way, directs resources and exercises power on the basis of shared values’
A sharing of decision making so that power and resources do not accumulate in the hands of one person or a single group.
What might ‘bad governance’ mean?

10. Shared decision making and individual accountability
The two take place together
Individual accountability for the group making the best decisions
Not a contradiction

11. Discuss: Who makes the decisions?
Who makes the decisions in your organisation?
How are they made?
How can others participate in this?
Do they participate?

12. Some more basic features of good governance
A basic form of accountability
Decisions are discussed and made collectively
There are restrictions on one person becoming more powerful than the others
This doesn’t happen accidentally, by chance or because of good will – it has to be formalised through rules and procedures

13. Let’s be practical… Organisations with good governance will have:
A governing body (normally called a board)
Clear roles within this governing body
A system where the people on the governing body can and do change
A system where the roles within the governing body are chosen fairly and appropriately

14. In a ‘good governance’ …
There is a membership
There are regular elections for the board and nominations for all positions on a board
The board is voluntary and unpaid
There are clear and specific roles (president/chairperson, treasurer, secretary)
There are regular, minuted meetings
The meetings are organised in a standard format with regular reports on key issues
There are written procedures for how elections and meetings and for how conflict is resolved

15. Also…
If there is a coordinator, executive officer or secretariat responsible for the organisation’s daily business, they are accountable to the board
There is a distinction between governance (board, broad direction) and management (staff, everyday activity)
… sometimes this isn’t possible because the size or newness of the CBO means it doesn’t have staff…
But in this case it’s even more important that there be checks and balances on individual power – a separation of powers

16. Secretariats and boards
Role of the board: to set broad direction and oversee the general business (governance)
Role of the secretariat: to implement the board’s decisions and attend to the details in making things happen (management)
The relationship is mutual and reciprocal – a two way, supportive relationship
The secretariat supports the board’s development and decision making processes
The board supports the secretariat’s work in day to day management

17. Why good governance matters ?
Stability and reliability
Guards against corruption
Clear rules and procedures (transparency)
Accountability to communities/members
Sustainability and development
Diversity of views
Participation of more people
Guard against autocratic rule
Having structure to keep organisation focused on stated mission
And many more…

18. Governance in your organisation
Is there a governance structure in place?
If so, what is it? Does it work (in terms of what we’ve been discussing)? How does it work? How can it be improved?
If not, what do you think might be needed?

19. Governance manuals (by-laws)
Normally there are documents that set out the rules of an organisation’s governance structure – by-laws
The by-laws along with legal documentation (incorporation) and the mission statement as well as other documents communicate what the organisation is doing, how it’s doing it and where it’s going

20. A basic governance manual…
Membership rules
Board election processes
Responsibilities of the board
Board positions, criteria and duty statements
Terms of office for board members
Decision making and minuting procedures
Frequency and number of meetings per year
Meeting quorum
How meeting dates are set and agendas developed (and by who)

21. Developing a governance manual…
Takes time
Must be consultative
Engage the organisation’s members and/or constituents
Must be formally endorsed by the membership

22. Bringing all together…
GOOD GOVERNANCE
ACCOUNTABILITY
TRANSPARENCY