Board Evaluations, also known as Board Effectiveness Reviews, are an integral part of Board development, improvement and effectiveness. Such an evaluation or review is a stand-alone project with a defined purpose and a report as the outcome. The next stage for the organisation is to implement the chosen recommendations, understanding how those actions will bring genuine effectiveness improvements.
The focus therefore is on the independence of the evaluation, with external input into the project to advise on best practice, all within the remit defined by the Board, performed in accordance with the Board’s chosen method of engagement and resulting in an outcome presented in the format the Board requires.
This creates a variety of ways that a Board evaluation can be performed, from a combination or selection of options which range in scope from a light touch to an in-depth evaluation. Importance is placed on retaining an approach that is robust and rigorous irrespective of depth of the engagement agreed on.
The Board will:
– Compile a project that fits their desired outcomes and budget from the various options below:
- Interviews, and with whom, plus which other stakeholders to include beyond the Board, for example, internal stakeholders, the Executive team, heads of key departments, functions, operations, regions or subsidiaries, and any relevant external stakeholders
- Attendance at which Board and Committee meetings
- Bespoke, multiple choice questionnaire which could be any of the following styles, the depth, detail and content framed by the project:
- tailored to tease out further insights post the interviews and meetings
- to structure the interviews
- stand alone
– Decide the depth and scope of the engagement
- The depth of the project will determine:
- which individual reviews will take place between the Chairman, CEO, Company Secretary, SID, Vice Chair
- director self-appraisal
- director appraisal in the style of a 360 of their fellow Directors
- The style, depth and formality of the governance portion of the review
- The format, structure and depth of detail of the report, to whom it is presented and how ownership is created
– Determine what further insights are required from the evaluator to ensure successful outcomes are achieved.