Ten Fundamental Board Responsibilities

TEN FUNDAMENTAL BOARD RESPONSIBILITIES

(From TheArtofTrusteeship; C. Widmer and S. Houchin, Jossey-Bass,San Francisco, 2000)

MISSION:

1.Establishing the Organization’s Mission

One of the board’s most important responsibilities is to establish the mission of the organization, to monitor the organizations’ progress in achieving that mission, and to review the mission periodically and revise it when necessary.

2.Engaging in Strategic Planning

The board of a nonprofit organization is responsible for creating a vision for the future of the organization and developing a plan for achieving that vision.

3.Overseeing Programs

The board of directors is responsible for ensuring that the organization’s programs and services carry out the mission of the organization, that programs meet the needs of clients or members, and that programs are evaluated for their effectiveness.

4.Helping the Organization Communicate Effectively

The board of directors is responsible for ensuring that the organization communicates effectively with its various publics. Included in this responsibility is communication for the purposes of advocacy, fundraising, marketing and public relations.

MONEY:

5.Overseeing the Organization’s Finances

The board of directors serves as the steward of organizational resources. The board’s oversight responsibilities include setting policy in the area of financial management, approving and monitoring the budget, and contracting for an annual audit.

6.Developing Funds

The board of directors is responsible for ensuring that the organization has the resources it needs to carry out its work. The board is responsible for approving the fund development plan, making an individual contribution to the organization, and participating in fundraising activities.

7.Ensuring Sound Risk Management Policies

Many events – flood, fire, malpractice, malfeasance, carelessness and corruption – can put an organization at risk. The board of directors is responsible for seeing that risks are identified and steps taken to prevent or manage the impact of such occurrences.

MANAGEMENT:

8.Selecting and Supporting the Chief Executive Officer

The board of directors is responsible for selecting, supporting, evaluating, and if necessary, terminating the chief executive officer.

9.Selecting and Educating the Board

The trustees of an organization hold that organization in trust and then pass that responsibility on to new trustees. An important responsibility of the board is to see that skilled and trustworthy new trustees are selected and educated in the work of the board and the organization.

10.Managing the Work of the Board

The board of directors is responsible for determining how it will structure itself and its meetings; for ensuring that it has the time, information, and other resources necessary for wise deliberations; and for regularly assessing its work.