How to Conduct a Board Self-Assessment

Board Self-Assessment is an essential board function that provides a useful platform for discussing and analyzing the strengths and weaknesses of governance. It’s a method for the board to take a step back and examine its own effectiveness, which results in effective governance improvements.

Time, planning and engagement of board members is essential to develop an effective board evaluation process. The first step in determining the scope is to identify the audience for the evaluation. This could include the entire board, specific committees, and/or individual directors. A good plan will identify the method of evaluation. Surveys, interviews or facilitated discussions are typical methods. Once the nature of the evaluation and the method of evaluation have been established then it’s time to develop and distribute questionnaires.

Some boards prefer to conduct the evaluation on their own while others employ the help of a third-party consultant. A third party consultant can help ensure a fair and thorough analysis, which is essential if you do not have the time or resources necessary to conduct the assessment on your own.

It is vital that board members examine themselves. However, it is also important that nonprofit boards focus on the whole. It is easy for nonprofit boards and their evaluation facilitators to become absorbed in assessing individual responses and neglect examining the board as a whole.

A successful self-assessment can help boards understand their expectations, identify weaknesses in the my sources about best data room platforms reviews and ratings composition of their boards, align board knowledge with organizational strategy, address concerns from investors regarding turnover and diversity and enhance the efficiency of their board practices and procedures. Increasingly, public companies are disclosing the results of their board’s evaluations in their proxy statements.