Policy Governance A Bold Move by the Board…. 2004 SEARCH, The National Consortium for Justice Information and Statistics | 1 Why Policy

Policy Governance A Bold Move by the Board…

2004 SEARCH, The National Consortium for Justice Information and Statistics | www.search.org2

Why Policy Governance…

• During the mid 90’s the Board began to pay more attention to its role and responsibilities

• The Board, in its attempt to define its role and responsibly, has struggled with rubberstamping matters and/or micro managing staff issues. • A new and defined way for the board to operate needed to be

found.

• Based on reactions to this the Board continued its examination with a Board retreat in November of 2002• The text selected was John Carver’s Board’s That Make a

Difference

• Out of the retreat committees were formed and policies adopted


and why now?

• Over the next few years the Board• Spent much time trying to manage certain aspects of

running SEARCH• Continued to question their roll and responsibility

• It was time to revisited Carver’s text on the Policy Governance® Model

• The Board considered the model in February 2007

• The Board and Supervisory Staff trained on the model in July 2007

• The Board adopted Policy Governance Model policies at a retreat in November.


The challenge for a SEARCH Board Member

• Role is critical but often poorly defined

• Board Members are managers

• No training or preparation

• Poorly documented policies when they do exist

• Undisciplined in speaking as a Board

“Very competent individuals can come together to form a very incompetent Board.” John Carver


Typical Governance Problems

• Establishing and maintaining proper (forward looking) focus

• Role definitions are unclear

• Board fails to control its agenda

• CEO loses control of management responsibilities

• Board is reactive with a “fix-it” focus

Results in SEARCH being lead and managed less effectively and efficiently


The Policy Governance® Model

Policy Governance is a complete model for governance.

Carver’s model provides a framework that “… separates issues of organizational purpose (ENDS) from all other organizational issues (MEANS)…” and it “…places the primary importance on the ENDS.”


The Basic Principles of the Model

1. The Board is Trustee for the SEARCH Membership (Owners)

2. The Board Speaks with One Voice or Not at All

3. Board Decisions Are Predominantly Policy Decisions

4. Policy is Formulated at the Broadest Value before Progressing

5. The Board Defines and Delegates, Not React and Ratify


Continuing the Basic Principles of the Model

6. The Board’s Pivotal Duty is to Determine the ENDS

7. The Board Controls by Setting Staff Limits not Prescribing Actions

8. The Board Designs its Own Products and Process through policy

9. The Relationship Between Board and Management is both Empowering and Safe

10.CEO Performance is Rigorously Monitored Against Policy Criteria


Categories of Policy within the Model

Policies are divided into the following categories

1. ENDS• What is accomplished for whom and at what cost

2. EXECUTIVE LIMITATIONS• Establishes Boundaries of acceptability

3. BOARD – STAFF LINKAGE• Delegation and Evaluation

4. GOVERNANCE PROCESS• Board established its own job, accountability and

philosophy


Visually Understanding the Model

Governance

Process

Board –

Staff

Linkage

ENDS

Executive

Limitations


Beginning to Establish Policy

Governance

Process

Board –

Staff

Linkage

ENDS

Executive

Limitations


How Establishing Policy Alters the Model

Governance

Process

Board –

Staff

Linkage

ENDS

Executive

Limitations


Role Distinction

Governance

Process

Board –

Staff

Linkage

ENDS

Executive

Limitations


Traditional Board Policy:Traditional Board Policy: Policy Governance:Policy Governance:

A Comparison Between...A Comparison Between...

Based on particular circumstance Based globally, on values

Focused on operations Focused on end results

Directs all employees Directs CEO

Prescribes means Establishes limits on means

Confuses roles Clarifies roles

Policy, then decisions Decisions ARE policy

Few broad policies Many narrow policies

Slide copied from a presentation by Mr. John Nielsen to a Board Orientation of the

Association of Governmental Risk Pools


The Board’s Implementation Strategy

1. Make sure the board and Executive Director understand the model.

2. Make a full board commitment to this major change.

3. Put the board’s commitment to move ahead on paper.

4. Develop all policies except ends.

5. Do an administrative and legal check.

6. Design the first steps in connecting with , you, the membership.

7. Inaugurate the system. Reason for today’s presentation.


SEARCH’s By-Law Changes

Put together an Ad Hoc committee made up of;Diane Sherman, MichiganDaniel M. Foro, New York


SEARCH By-Laws

Documents

Policy Governance A Bold Move by the Board…. 2004 SEARCH, The National Consortium for Justice Information and Statistics | 1 Why Policy