Issue link: http://read.dmtmag.com/i/327054
Connections | Summer 2014 10 Connections | Summer 2014 10 The Challenges 1. Directors don't understand their responsibilities. 2. The board simply isn't engaged. 3. Some directors don't show up, repeatedly missing meetings. 4. The board prefers to manage, not govern. 5. Fiduciary duties are not understood by the board. 6. Lacking financial understanding. 7. Some board members have personal agendas. 8. We have the same directors we had ten years ago! 9. Some directors are never prepared. 10. We have directors who seem to be incompetent in their board service. Solutions Deliver an effective board orientation; provide access to a leadership manual or password protected board portal. When directors lose attention, be sure the work, agendas and discussions focus on the mission and goals. The strategic direction should be clear and compelling to engage volunteers. Follow the bylaws and promote fiduciary responsibility, especially duty of care. Directors attend officially called meetings to fulfill their roles. The purpose of a board is governance according to corporate law. Management is a duty of the staff. The fiduciary duties include care, obedience and loyalty. Directors should understand their implications. If directors don't have an understanding of finances, reports and audits, bring in a CPA or trainer. Protecting the resources is a board duty. Directors should be working to advance the mission and the strategic plan. It's not about the personal agenda of officers or directors. Require disclosure of conflicts of interest. Organizations enact term limits to bring on new directors; limiting the number of years or terms. Stress the importance of "read to lead." Directors should prepare for meetings and ask questions in advance (duty of care/due diligence.) Selection of directors should be based on competency --- not geography, who knows who, or being "out of the room when directors were selected." Provide training, information and resources. Identify the desired core competencies for the board before the nominating process. Ten Board Challenges by Bob Harris