The Executive Director - Board Relationship

Over my time in the non-profit sector, I have had the opportunity to study and advise on many components of organizational development and structure. I would suggest that one of the most critical determinants of success in non-profit organizations is the relationship between the Executive Director and the Board of Directors. Specifically, I would say that organizations that are well-developed in the following areas almost always demonstrate effective organizational outcomes:

1. A highly-informed and a comprehensive understanding of good governance and the role of both the Board and Executive Director in supporting the practices that lead to governance excellence. Determining governance roles starts with fundamentally understanding the purpose and principles of organizational governance and how effective Boards operate. When Boards are well-versed on good and promising governance practices, they have the critical building blocks for understanding the roles that individuals should play in implementing and supporting those practices.

   
   

2. A clear and thorough understanding of the information that is required to ensure optimal governance decisions. As with any organizational decision-making, Board decisions are significantly enhanced by the information that feeds them. This includes understanding critical internal data such as service levels; demographics served (and demographics underserved); financial outcomes and implications; and resource requirements. However, equally important is accessing and understanding external factors such as emerging practices in the sector, the legal and legislative landscape, the political climate, etc. An effective relationship between the ED and Board will consider the role that each plays in bringing information to the table. For example, the Executive Director Report that is provided at Board meetings should include key, relevant organizational data that the Board will likely only be able to access through the ED. That said, it may be the Board's responsibility to ensure effective training on other key elements of governance such as knowledge of current legislation and best practices related to financial oversight. Understanding the information that is required for the Board to govern effectively - and determining who will ensure that information is accessible - is a key part of building the Board-Executive Director relationship.

   
   

3. Clearly defined roles and responsibilities. The most effective Boards I have worked with have a very clear understanding of their governance model and the prescribed roles of the Executive Director and Board members as they work within that model. Defined roles ensure that a) the full scope of work is done as efficiently as possible; b) there is accountability for individual roles; c) there are clear boundaries that ensure people have a comprehensive understanding of their roles and are empowered to carry them out. Some of the key areas that would benefit from delineation of roles and responsibilities include:

   1. Setting of vision and mission

   2. Strategic planning

   3. Policy development

   4. Human resource management

   5. Financial management

   6. Fundraising

   7. Advocacy and communications

   
   

   One of our core competencies at MindBridge is developing governance policies that support optimal relationship-building between the Board and Executive Director. If you would like to learn more, contact Corrie Henderson at corrie@mindbridgestrategies.com.

   
   

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