What is a Board Supposed to Do?
Board service is a mystery for many volunteers. They want to serve. They want to help. But, oftentimes, they are not sure what they are supposed to do. So many times, I’ve heard nonprofit Executive Directors say they don’t want to ask too much of their board members because they don’t want to run them off.
Let’s turn this around, board of directors need guidance. They need to know what is expected of them, so they can decide whether or not they want to serve; have the time to serve; and have the resources to support the nonprofit organization.
7 Responsibilities
A nonprofit board of directors has seven responsibilities:
- Ensure effective organizational planning.
- Provide sufficient resources.
- Make sure the organization fulfills legal obligations.
- Provide proper financial oversight.
- Select and evaluate the Executive Director.
- Improve the organization’s public standing.
- Recruit and orient new board members.
Be Prepared
To fulfill these responsibilities there should be an on-boarding process or orientation for new board members. A board-buddy system is also a good way for new board members to learn about their role. And lastly, board members should come to board and committee meetings prepared for discussion and votes. This means they have read and understand the materials provided to them prior to the board meeting.
A board member must have a good understanding of how much money comes into and goes out of the organization. This includes:
- Reviewing and interpreting financial statements
- Reviewing and approving the annual operating budget
- Reviewing and approving large expenditures
Build a Pipeline
A successful board builds and maintains a pipeline of board prospects by asking non-board members to serve on committees. They identify the gaps that exist and seek the best candidates to strengthen the board. “I don’t know anyone” is no longer acceptable.
Potential board prospects should also be vetted for their capacity to serve and support the organization, their propensity to be philanthropic, and their affinity with your organization.
Oftentimes board members are recruited from the friends and colleagues of current board members. That’s fine IF the prospective board member meets the specific needs identified by the board assessment.
BoardSource
One last tip, a great resource for nonprofit board members and executive leadership and anyone else who’s interested in nonprofit board structures and governance is BOARDSOURCE.ORG, a nonprofit organization that offers a subscription service on all things related to non-profit boards of directors.
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