LVA GovernZine

#02-2

The inaugural issue of LVA GovernZine included an overview of board self-evaluation. The key point was that a board or advisory group should assess how well it is doing its own work. We know that legal and fiscal mandates dictate some of this work. Boards also have responsibilities in the areas of policy, planning, responsiveness to constituencies, and development of their own members. Advisory groups may also have responsibilities in some of these areas.

Within the last eight to ten years, there has been ongoing research in governance. Results indicate a clear correlation between effective boards and effective nonprofit organizations. What are the characteristics of effective boards?

In a landmark piece of research, Thomas Holland identified six key competencies of boards of directors. We�ve given examples of each and hope you will share your examples with the LVA GovLive listserv.

1. The Contextual Dimension � Boards and advisory groups take into account the culture, values, and norms of the organization. Culture is the personality; values are the foundation. They are somewhat like "the operating system," guiding how individuals think, act, and feel. Often, they are intangible and hard to define. Boards and advisory groups recognize that some cultural aspects and core values are non-negotiable. They accept these for continuity while also planning for changes in activities and structures.

2. The Educational Dimension � Here�s another way the board or advisory group does its homework. Preparing for board meetings does not just entail reading the minutes and the budget reports. Members who want to be effective in their jobs make it a point to learn about the cause their organization serves, what�s happening in the organization, and how the organization fits into its community and its field. They subscribe to periodicals, participate in listservs, take advantage of continuing education opportunities, and generally make themselves knowledgeable. They also ensure that members are well informed about their roles and responsibilities.

3. The Interpersonal Dimension � Everyone on the board or advisory group is responsible for making it a safe place for people to question and learn. They use dialogue, which is more important than discussion. In dialogue, members are listening and questioning. In discussion, members are usually trying to sway others to their way of thinking. The board or advisory group nurtures this sense of the group as a whole by attending to the collective welfare and fostering a sense of cohesion.

4. The Analytic Dimension � The board or advisory group recognizes that delivering quality literacy services is a complex issue. Members know the organization and field they represent, not just the annual reports and the budgets. They listen to the internal constituencies that make up the organization, as well as external stakeholders, including experts. They use data. They draw from these multiple perspectives to synthesize appropriate solutions.

5. The Political Dimension � If all politics are local, how much more local can politics be than in an organization? Members keep their antennae tuned to the internal and external politics that affect their organization. Who has personal agendas, and what are they? Who supports the executive director, and who is gunning for him or her? Which agencies are favored by the county human services council, and why? Members help create and maintain healthy relationships among key constituencies.

6. The Strategic Dimension � Members should be equipped with binoculars, not magnifying glasses. The job of a board is to create a direction for the future of the organization. High on a board's list of �to do�s� is strategic planning. It doesn't have to be ten years out; three or four will do. The board and prime staff member of the organization are always thinking of where they want to be in the future. Operational planning, the annual work plan of the organization, is based on this longer range plan.

Holland�s research revealed that the most effective boards exhibited skills in all of these areas. Through board development, they also worked during and between meetings to build and sustain competencies. There was a noticeable relationship between boards that did well in these six areas and the organization�s effective performance.

What can you do?

How well is your board performing in these six areas? Use the tool cited in the resources guide, or conduct your own informal assessment. Is your board or advisory group spending time to build its own competencies in these dimensions? Take time at your next meeting to discuss this research, and develop your own plan of action.

Ask LVA

Our board runs for the hills when it hears the words �fund development.�

If they run for the hills, they are shirking their duty to ensure adequate resources for your organization, which Richard T. Ingram states in his article, �Ten Basic Responsibilities of Nonprofit Boards.� The entire board should develop a funding plan and assist the development committee and staff by implementing fundraising strategies.

If your board members are passionate about your affiliate�s mission, they should invite others to share that passion by urging individuals, foundations, United Way, etc., to give financial support. As a matter of fact, funders often ask about the level/percentage of board giving and how actively the board solicits funds.

Does the job description for board members include a requirement for fiscal responsibility, personal giving, and involvement in fundraising? Is there a written policy on board fundraising? Are prospective board members told that they will have to participate in fundraising activities? Does your board president set a good example by encouraging members to contribute time and money? Are there ongoing training opportunities for your board?

If you don�t feel that board members will listen to you, refer them to articles and books by experts like John Carver, BoardSource, or Board Cafe that stress the importance of the board�s role in fundraising. Does your local United Way or nonprofit center offer board workshops? Would they provide a speaker for a board meeting?

Some nonprofit boards have developed governance committees with the charge of recruiting, supporting, evaluating, and, when necessary, firing board members. This committee can help the president monitor members� attendance and performance. Several affiliate directors have described similar committees in LVA GovLive messages. You might want to adopt a board member agreement as suggested by Jan Masaoka in Board Caf�, a periodic newsletter (see Resources). The article includes a list of responsibilities like making financial contributions and actively participating in one or more fundraising activities. Even board members that will never feel comfortable directly asking for money can work behind the scenes during special events or provide access to their personal networks.

Brenda Gray
LVA State Liaison, WA

Resources

Carver, John, 1997. Boards That Make a Difference: A New Design for Leadership in Nonprofit and Public Organizations. Jossey-Bass.

Holland, T., 1996. How to Build a More Effective Board. Washington, D.C.: BoardSource.
www.boardsource.org

Holland, T. and Myra Blackmon, 2000. Measuring Board Effectiveness: A Tool for Strengthening Your Board. Washington, D.C.: BoardSource.
www.boardsource.org

Ingram, R., 1996. Ten Basic Responsibilities of Nonprofit Boards. Washington, D.C.: BoardSource.
www.boardsource.org

Masaoka, J., 2001. Board Member Agreement. Board Caf�. March 2001.
www.boardcafe.org/bc2001_03.html