Do Your Board Members Understand Your Organization?

Do your board members understand your organization?  

To be an effective board member, one must have a clear understanding of the organization's mission, vision, and programs.  The board is ultimately responsible for the mission of the organization and ensuring that it is on track to achieve it.  Although the board is not directly responsible for programs (i.e running the day to day operations), board members must have an understanding of how each of the programs works to do their job as the board.  This includes knowing what each of the programs is, who the programs serve, what revenue is generated from each program, the grants that support the program, and the resources used to provide the program.  It is also important to understand the concept of “sacred cows”; those programs that the organization has always done just because “that's what we do.”  Just because something has always been done a certain way, does not mean it is in the best interest of the organization to continue it.  Ensuring that your board understands your programs, allows them to have the tough conversations, ask questions, and make some hard decisions on changing or even ending programs when necessary.

Your board also needs to understand the space that the organization operates in.  For example, if the organization provides education related services, are there current legislative activities relating to education?  Will new laws be passed that could impact the organization's programs or funding?  What is going on in the community that the organization serves specifically related to education?  In order to make the best decisions for the organization, the board needs to be aware of what is going on not only inside the organization but on the outside as well, and how these external factors can impact the organization.  You may want to consider providing your board with a short update at board meetings or a recurring email communication on these types of issues.

In addition to their responsibilities of oversight, board members also serve as ambassadors for your organization which is why it is also important that they be able to share with others what your organization does through stories.  Individuals can better understand your impact on the community through stories and more likely to support your organization.  A better understanding makes for better stories and increased connection.

Contributed by: Carrie Minnich, MAcct, CPA | Partner | DWD CPAs & Advisors