Ten Key Responsibilities of Boards
By Kylee Harrison
Whether you are asked, appointed, voted or just plain volun-TOLD, serving on a board is an important responsibility. Many times, the board of directors is the group of people legally charged with the responsibility of governing a nonprofit corporation. Here is a short list of responsibilities that all boards should follow.
Ten Key Responsibilities of Boards:
- Determine the organization’s mission and purpose. Not only does the board create the mission statement, it should review the statement periodically to ensure that the operations of the organization are consistent with the mission and purpose.
- Select and support the executive, and review his or her performance. The board approves the chief executive’s job description, participates in the job search for the most qualified person, and periodically evaluates the CEO’s performance.
- Approve and monitor the organization’s programs and services. The board determines which programs and services are the most consistent with the organization’s mission and reviews effectiveness periodically.
- Raise money. The board has the responsibility to ensure the organization has the resources necessary to fulfill its mission. Board members themselves are often looked to for contributions, whether in the form of “wealth, work, or wisdom.”
- Ensure effective fiscal management. The board is accountable to donors. It must assist in developing the annual budget and making sure that proper financial controls are in place.
- Enhance the organization’s public image. The board helps the organization link to the community and must clearly express the organization’s mission, accomplishments, and goals to the public.
- Develop itself as a board. Board members are expected to develop replacements — making sure new board members are recruited and trained. Members should also assess their own performance periodically and identify and provide needed training.
- Organize so that the board operates effectively. Boards must actively participate with the staff in periodic planning processes and structure the organization so goals can be smoothly implemented.
- Ensure sound risk management policies. The board is ultimately responsible for ensuring adherence to legal standards and ethical norms. The board makes sure the organization’s bylaws and articles of incorporation are followed and that personnel policies, grievance procedures, and affirmative action plans are in place.
- Serve as the arbiter of disputes. Although the CEO is responsible for staff grievances and conflicts, the board may be approached as an “appeal court” as a last resort.
From Board Basics: Practical Training for Non-Profit Groups. Georgia Stuart-Simmons, Community Development Specialist, West Central Region, and Lisa Wallace, Human Development Specialist, West Central Region, University of Missouri Extension. Used with permission.