This is the first of 6 articles to show readers what innovative modern governance looks like in any organisation of worth.
We are basing this is on our ‘GOVERN protocol’. We came up with this from reviewing how governance all over the UK has failed - downgraded or put under heavy engagement. We then designed a set of measures to stop these defaults under each of these headings.
G Stands for Governance Excellence
Governance should start from a Vision, which leads to a Mission, then the Goals and Actions to achieve that Mission. It’s arrogant to set this vision without consulting your major stakeholders, so Excellence starts with a Stakeholder Consultation exercise.
Excellence means no complacency, so the Board should undergo a good hard look at itself every 3 years with a serious Governance Review, preferably using a consultant or outsider so no bias can exist.
Excellence in Board Papers are that they are electronic; and follow the ‘Less is more’ philosophy, using scorecards instead of all the tables, graphs, charts and text that Boards do often get.
A wide range of Tenant Involvement and Consultation options and processes add value to the organisation and to Governance Excellence.
An Excellent Board is a superb team, rather than a group of people. They complement each other’s strengths well. The extended team is with the Executive, who see the Board as a valued asset, rather than a ‘nit-picking’ millstone.
Excellence means keeping a Succession Plan, which details each member’s strengths and how long we have each member for. This issue has come to the fore just now with the 9 year rule. There is a proviso which lets you keep members, but we suspect the Regulator does not intend everyone to protect all their members with it, but only in cases where a vital skill will be lost without a suitable replacement being available.
This brings us to Induction for any new members. Excellence is a really tailored process which is designed around a new member to help that particular set of strengths within them to flourish as soon as possible.
Hugh Laird is a Director of the Board Development Agency
THE GOVERN PROTOCOL
G overnance Excellence
O perational Compliance
E xcellence and Continual Improvement
R isk and Stress Testing