Understanding Good Governance

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Understanding Good Governance

• Facilitated by Derek OReilly
• Carmichael Centre for Voluntary Groups

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Leadership requires TeamworkLessons we can
learn from Geese

• http//www.youtube.com/watch?vAOBthOPuw2U

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The Board/Committee Team

• Board members as equals
• Communication within the Board
• Interaction in meetings
• Board roles
• Communication with external stakeholders
• Problem solving, conflict resolution and decision
  making

4
Board/Committee Rotation Rejuvenate

• Boards go through life-cycles or phases
• Different ways of working are needed at different
  stages
• Board rotation is necessary for appropriate
  representation and rejuvenation

5
Avoid Groupthink

• Groupthink
• Self censorship to agree with majority view
• Silence taken as agreement
• Unquestioned belief in the groups right to be
• Collective efforts to rationalise as a means of
  avoiding past policy decisions
• Collective excessive optimism which encourages
  the taking of extreme risks

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Keep the Board/Committee Energised

• Say Thank You
• Respect and recognise Board members and volunteers

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• Setting Boundaries Roles of the Chairperson and
  CEO/Manager

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Chair/CEO Relationship

• Mutual respect and understanding
• A line management relationship
• Regular communication
• Mutual expectations
• Annual appraisal
• External support

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Board/CEO Relationship

• Mutual respect and understanding
• Timely, accessible and appropriate information
• Constructive support and challenge
• Board development

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Reporting to the Board

• Tracking activity
• Progress against objectives
• Financial reporting
• Legal compliance
• Staff/Volunteers
• Effectiveness of services/activities
• Value for money

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The Governance Code

• A Proposed Code of Practice for Good Governance
  of CV Organisations
• http//www.governancecode.ie/

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The Principles

• Providing leadership
• Exercising control
• Being transparent and accountable
• Working effectively
• Behaving with integrity

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1st Principle Providing leadership for your
organisation

• Purpose, vision and values.
• Planning.
• Managing, supporting and holding to account
  volunteers and all who act on behalf of the
  organisation.

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2nd Principle Exercising Control

1. Legal requirements
2. Financial controls
3. Risk management

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Risk management

• Think about problems that may arise, e.g.
• Garda vetting
• Your database/mailing list
• Paying back a bank loan

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3rd Principal Being transparent and accountable

1. Communicating with stakeholders
2. Responding to stakeholders
3. Involving your beneficiaries

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4th Principal Working effectively

1. Understanding roles
2. Effective meetings
3. Board development

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5th Principal Integrity

• Honesty, fairness and independence
• Conflicts of interest and loyalties
• The organisations reputation

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The Concept of Proportionality

• No one size fits all
• Factors such as size, level of funding, skills
  and experience
• The five principles remain the same
• Recommended actions differ depending on the
  Organisation Type

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Organisation Types

• Type A board involved in governance, management
  and operations
• Type B board involved in governance and some
  management and operations
• Type C board involved in governance only

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Evolving Roles

• Shifting sands how boundaries can move over time
• Recognising the difference between Governance,
  Management and Operations
• The challenge of wearing several hats

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Conclusions

• The increasing emphasis on
• quality and (self)regulation
• The Charities Act 2009
• Guiding Principles for Fundraising
• SORP (Statement of Recommended Practice)
• PQASSO

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Useful weblinks

• http//www.carmichaelcentre.ie/sites/default/files
  /Charites20Act20Summary_update2010.pdf
• http//www.ictr.ie/files/Compliance20Checklist.pd
  f
• http//www.dochas.ie/Shared/Files/4/A_Note_on_Char
  ities_SORP.pdf
• http//www.ces-vol.org.uk/index.cfm?pg42

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Board Health Check

• Determine the effectiveness of the board
• Ten questions for you to consider