Types of Boards Roohullah Shabon

Category: Education

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Slide 1: 

Board Models Defining the Best Model for your Board

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Learning Objectives An overview of current Board models Assessing where your Board is now Guiding model transition

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General Considerations No one ideal model Dependant on organization’s life cycle Emphasis on different roles/responsibilities Hybrid models can often work best Models regularly assessed Connection b/w Board & organization effectiveness

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Current Board Models Patron Board – General Features Figurehead for fundraising purposes Not a governing board Meet infrequently

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Current Board Models Patron Board Pros Passionate commitment to mission & vision of organization Wealthy individuals willing to donate

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Current Board Models Patron Board Cons Have no involvement in operations Can manipulate outcomes based on their huge donations

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Current Board Models Advisory Board – General Features CEO generally the founder Board’s role is advisory Provides a professional skill Establishes credibility of organization Task-focused Infrequent meetings

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Current Board Models Advisory Board Pros Excellent short term solution Members provide professional skills Members build credibility for organization Members have full trust of CEO Members are active and action-oriented

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Current Board Models Advisory Board Cons Exposes members to significant liability Lack of accountability mechanisms Members have little influence/say over organization Maintains a superior, hierarchical position to CEO Has no/little say in strategic planning

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Current Board Models Co-operative/Collective Board – General Features Board of directors exists for incorporation purposes Democratic style of management Shared responsibility and no ED Decision making by consensus

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Current Board Models Co-operative/Collective Board Pros Avoids hierarchical structure Employees have decision-making power Shared sense of purpose Synergy between Board and staff

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Current Board Models Co-operative/Collective Board Cons Requires an exceptional (and, therefore often unattainable) level of commitment Members join based on ideological/philosophical ideals that hinder compromise Difficulty implementing accountability mechanisms

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Current Board Models Management Team Board – General Features Board structure mirrors organizational structure High level involvement in operations Decision making extends to fine details Committee based Most popular model between the 1970s – early 90s

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Current Board Models Management Team Board Pros Useful when there are no full-time staff Members have knowledge/skill in a specific field Members are representative of a stakeholder group

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Current Board Models Management Team Board Cons Micromanagement Inconsistency in decision making Dissatisfied board members Resentful staff Lack of attention to planning (operational not strategic focused) Lack of accountability mechanisms

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Why Consider a Change? 1. Board role dissatisfaction 2. Organizational problems 3. New phase in life-cycle 4. ED turnover 5. Board member turnover 6. Crisis of confidence 7. Changing political/economic environment

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Challenges from CHC Experiences Domineering/Silent Board Member Board member with another agenda Inadequate bi-laws Unclear definitions of roles and responsibilities Authority of committees Conflict of interest Board – Staff – Chair – ED relations Micromanagement of funders Inadequate due process of minutes Unclear definition of Model of Care

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