SUMMIT ON NON-PROFIT LEADERSHIP
Colin Carter
Melbourne
8 July 2004
- 2 -Boards Not For Profit Summit July 04.ppt
WHERE IT CAN ALL GO WRONG FOR ANY BOARD
• Lack of agreement about board ‘role’
• Chairman more into process than dealing with the key issues
• Chairman and CEO in conflict
• Directors don’t behave
• ‘shooting the messenger’ who brings bad news
• undermining the CEO in their dealings with management
• too involved in ‘management’ matters
• talking, but not listening well
• Directors don’t put in the work or don't comprehend the issues
• CEO defensive in response to questions
• Management presents material poorly or as a fait accompli
• Management isn’t open with the board
- 3 -Boards Not For Profit Summit July 04.ppt
NOT-FOR-PROFITS: COMMON ISSUES
• Directors that understand........
- the business model but not mission and values
- the mission and values but not the business model
• Poor performance data on outcomes
• Boards too large....and poor attendance records
• Key skills lacking
• Unable to deal with poor performers on the board
• Directors too involved in detail – eg. too many committees
• Directors not ‘independent’ - with conflicts of interest or representing constituencies
• Constituency based elections leading to overt politics
• Confidentiality of boardroom discussions lacking
• Lack of cooperation among NFPs