Board Governance – Introduction
A Not-for-Profit board is charged with the responsibility to set and oversee the strategic objectives of the Organization, in order for the Organization to accomplish its mission. Governance is the shared responsibility between the board and management of the Not-for-Profit Organization. While the responsibility is shared, the board has liability for the Not-for-Profit Organization, and ultimately is the final authority.
Governance is a set of responsibilities and practices applied by the board and management that provides strategic direction, makes sure objectives are achieved, appropriately manages risks, and ensures the Organization’s resources are used responsibly.
In October 2007 (updated in 2015), the Panel on the Nonprofit Sector published a report titled “Principles for Good Governance and Ethical Practice: A Guide for Charities and Foundations” (The Good Governance Model). The report identifies 33 principles, which are organized under 4 main categories. These principles should be considered by all charitable organizations as a guide for strengthening its effectiveness and accountability.
This Board Governance Series provides a high-level summary of each of these principles, as broken down into 4 main categories: 1) Legal Compliance, 2) Effective Governance, 3) Strong Financial Oversight, and 4) Responsible Fundraising.
We plan to cover these four parts throughout 2022 on the following schedule:
Part I – February 2022
Part II – June 2022
Part III – October 2022
Part IV – December 2022
This information will be presented on our not-for-profit niche website – so be sure to check out www.dbcnpo.com!
