Details of Boardroom Metrics Board Evaluation Process
Boards of Directors engage Boardroom Metrics to assess their current governance effectiveness and identify opportunities for improvement.
Board Evaluation Process Objectives
to evaluate current Board role and element of Board effectiveness including composition, structure and operations
to recommend the most beneficial ways to improve Board effectiveness and further improve the performance of the organization
Outputs of the Board Evaluation Process
A detailed evaluation of the Board’s current governance effectiveness and operations
Input on future opportunities, threats and direction from current organization leadership, Directors, Members, others
A summary of current and trending industry governance best practices in the public, association, and not-for-profit sectors (whichever is relevant)
Recommendations for improving Board structure, nominating and governance operating practices with the goal of increasing the organization’s governance and operating performance
Board Evaluation Process Steps
1. Governance Document Review
Goal to identify outdated and inconsistent governance policies and processes. Review of by-laws and other Board governance documents including Board Minutes, Corporate Strategy Documents, other documents used by the organization to direct governance and oversight.
2. On-line Board Survey
Goal to identify opportunities for executing the Board role more effectively. On-line survey is completed by Directors and the CEO; other Management, other stakeholders as determined by the Board. The survey asks respondents to rate their understanding of the Board’s role and their satisfaction with important elements of Board effectiveness including Board composition, Leadership, Information, Processes and Culture. The survey can be used as a baseline for future Board evaluations to track progress.
3. Director/Other Interviews
Goal to increase depth of understanding of the Board’s effectiveness. Typically interviewees include a subset of the Board, the CEO and other participants identified by the Board.
4. Board Meeting Audit
Goal to observe first-hand the organization’s governance processes in real time. The observation of Board meetings provides tremendous insight on how the Board understands its role and how effectively it executes it.
5. Review Industry Best Practices in Corporate Governance
Goal to identify trends and other advances, changes in industry best practices that may impact the organization from a governance perspective.
6. Presentation of Conclusions and Recommendations
Opportunity for the Board to learn the results of the Board evaluation, discuss the implications and begin building a plan for increasing Board effectiveness.
Board Evaluation Process Timing
8 – 10 weeks.
Board Evaluation Process Fee
Evaluation Process Consulting fees range from $15,000 to $35,000 depending on Board size and scope of the evaluation.
For more information on the Boardroom Metrics Board Evaluation process, email [email protected] or call 416-994-6552.
Jim Crocker is the founder and Chair of Boardroom Metrics. He is an experienced Director, CEO and Consultant to public, private and not-for-profit organizations. Jim facilitates and works with Boards, CEO’s and Leadership teams on governance effectiveness.