The Rural Collaborative Presents Effective Board Composition

1
The Rural Collaborative PresentsEffective
BoardComposition

• How to sit on a board without getting splinters
• Utah Housing Coalition
• September 22, 2003

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Discussion Overview

• Why so much interest?
• Is there a secret to effective boards? Does
  one size fit all?
• Practical tools for Effective Board
  Composition.
• Competing Values Model
• How can these tools help my organization?

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Information Overload

• Abundance of information
• Is the information being used?
• Is anything working?
• Are Boards Effective?
• What does being effective mean?
• How would you rate your board?
• Does one size fit all?

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Practical Tools

• Skills Matrix
• Job Descriptions
• Board Member Agreements
• Board Member Evaluative Survey
• Trustee Manuals
• Competing Values Model

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Effective Board Composition

• What is the number one reason individuals join
  boards?
• Individuals usually join boards because they
  believe in the values the organization embodies
• Joining a board takes time and energy commitment

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Board Composition

• Board Composition Representation of community,
  constituents, a variety of backgrounds
• Skills Matrix
• Identifies areas of strengths and needs of the
  board
• Board may conduct exercise on what strengths and
  needs exist

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Board Recruitment

• Tools used for recruiting include
• Board Member Job Descriptions
• Board Member Agreements
• Board Interviews

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Board Recruitment

• Trustee Manual clearly states expectations and
  responsibilities
• Articles of Incorporation
• Bylaws
• Historical Overview
• Mission Statement
• Board Member Job Description / Agreement
• Minutes
• Committee listings, contact information
• Annual Report

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Effective Board Composition

• Board Effectiveness
• Clear Expectations Less Frustration
• Reduces Deadwood
• Ways to avoid deadwood
• Limit Terms
• Specify Attendance Requirements
• Pocket Book Test
• Trustee Manual

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Effective Board Composition

• Common Obstacles That Lead To Board
  Ineffectiveness
• Time on the trivia
• Short term bias
• Reactive stance
• Reviewing, rehashing, redoing
• Diffuse authority

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Board Sustainability

• Board Evaluation A constructive exercise that
  should take place annually
• Retreats
• Surveys
• Informal Discussion
• Peer Evaluation

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Competing Values Framework Model
Robert E. Quinn
Means Management of Individuals Ends Smooth
Functioning Group
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OPEN SYSTEMS MODEL

• Organizations focus is EXTERNAL
• Organizations structure is FLEXIBLE
• Staying abreast of changes in external
  environment
• Fully adaptable to changes in external
  environment
• Means Innovation Ends External Legitimacy
• The Emphasis
• Built on the basic assumption that continuous
  research, adaptation and innovation lead to the
  acquisition of external legitimacy and essential
  resources
• Primary consideration for the board

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OPEN SYSTEMS MODEL

• How does a board function in this realm?
• Innovator and Boundary Spanner
• Strong role in developing vision
• Intentionally works to enhance the fit between
  the organization and its external environment
• Board is supportive, encouraging, tolerant of
  risk. It may involve itself in identifying new
  directions, articulate unmet needs, respond to
  new opportunities and challenges
• Board serves as a liaison to important
  constituencies
• Ensures the org. has adequate resources to meet
  purposes
• Enhances organizations public image
• Board develops relationships with external
  constituencies
• Board engages with staff, common committees and
  stakeholders

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RATIONAL GOAL MODEL

• Organizations focus INTERNAL
• Organizations structure is CONTROL
• Focuses on organizational accomplishment
• Means goal attainment and planning Ends
  productivity and accomplishment
• The Emphasis
• Built on the basic assumption that clarity of
  direction will lead to productive outcomes
• Primary consideration of the board

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RATIONAL GOAL MODEL

• How does a board function in this realm?
• Director and Producer
• Board takes a lead in ensuring that expectations
  are clear and lead to mission
• Board helps to develop long term strategic plans
  emphasizing goals and objectives and defines
  roles and tasks
• Board expects clear goal setting and requires
  reports on progress
• Accepts responsibility for the overall focus and
  viability of organization

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INTERNAL PROCESS MODEL

• Organizations focus is INTERNAL
• Organizations structure is CONTROL
• Emphasizes standards of practice
• Implicit assumption that without board oversight
  managers might behave in a manner of self-
  interest
• Means documentation and information management
• Ends Stability and Control
• The Emphasis
• Built on basic assumption that routine and
  standardization lead to stability
• Primary consideration of the board

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INTERNAL PROCESS MODEL

• How does a board function in this realm?
• Monitor and Coordinator
• Works to assure organizational action is aligned
  with budgetary restrictions and mission
• Exercises fiduciary responsibility to provide
  oversight to budgeting, programming and planning.
• Oversees structure and flow of system-
  information and work is coordinated properly
  within system

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HUMAN RELATIONS MODEL

• Organizations focus is INTERNAL
• Organizations structure is FLEXIBLE
• Integration of individual and group into a whole,
  
• well-focused organization
• High standard of dialogue
• Means management of individuals Ends Smooth
  Functioning Group
• The Emphasis
• Built on basic assumption that involvement
  results in commitment and that commitment results
  in excellence
• Primary consideration of the board

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HUMAN RELATIONS MODEL

• How does a board function in this realm?
• Mentor and Facilitator
• Board has an obligation to orient new members and
  encourage training, skill development for board
  and staff
• Board sees its responsibility to build capacity
  by providing direction, guidance and support to
  ED
• Emphasizes group process, fosters openness,
  cohesiveness and a shared sense of purpose
  teamwork
• Embrace decision making processes that encourage
  group norms that tolerate conflict, promote
  shared knowledge, value diverse perspectives-
  toward group cohesion

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Competing Values Framework

• Group Breakout
• Where does your organization fit?
• What are the implications?
• Is your board balanced?

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What can I take back to my Organization?

• Questions or Comments
• Carol Cohen
• Rural Collaborative
• [phone]
• ccohen_at_sisna.com

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Supporting Sources

• Judith L. Miller and Sue R. Faerman, Making Good
  Board Choices A Competing Values Approach, The
  Nonprofit Quarterly Spring 2003
• Competing Values Model Robert E. Quinn, Beyond
  Rational Management