Why is having good governance so important?
Mon 12 Aug 2019
Voluntary organisations exist to have a positive impact on the communities they serve. Having a confident, diverse & skilled board that provides good governance is crucial for any organisation to fulfil its purpose.
Having good governance provides direction and supervision, whilst ensuring effectiveness and accountability for an organisation.
Direction. If you know where you’re going it’s much easier to get there. The board should have the capacity to set the strategy and overall direction; providing leadership for everyone in the organisation.
Supervision. Once the goals are set, you’ll need to ensure the organisation stays on track. To help with this you’ll benefit from establishing controls, managing risk & monitoring performance.
Effectiveness. A lot of effort goes into increasing resources; whether that is getting funding or recruiting volunteers. Once your organisation has resources the board should ensure they are being used effectively to maximise productivity and impact on the community.
Accountability. The charity should be transparent about its work with all of its stakeholders. If the board is open and accountable then you can celebrate success and show a willingness to learn from failure. This will increase trust with stakeholders and increase engagement.
Looking for a place to start?
- Places are still available (at the time of writing this!) on our Right Start training: Committee and Trustee Roles and Responsibilities. This is a great refresher for established trustees and acts as an introduction to the role for new ones (places are limited to 2 per organisation).
- Does your board need support to set the organisation’s direction? We deliver away days tailored to suit your needs. Interested? Email us: email@example.com.
- The Charity Governance Code is a great tool for small charities to work through, you can find it here: www.charitygovernancecode.org.
- Think your board could benefit from some training on a specific topic? Take advantage of our bespoke trustee training offer. To find out more and talk to us about your needs email us here.
Don’t forget that you can always contact your local office for support. Contact details can be found here.