Creating a high-performing, value-enhancing board requires addressing many issues. This includes having the correct people on the board. It also requires fostering an environment of positivity, providing information that is easily accessible, streamlining processes, and conducting regular evaluations. It’s not an easy task and there are always issues. Some of these issues are easy to solve, whereas others are more difficult. The good news is that the majority of these problems can be resolved.
A common issue is when boards fail to establish the internal structures and procedures it needs for carrying out its assessment responsibilities. This usually means setting up officers or committees who are responsible for gathering information, analyzing and regularly reporting information about performance to the board.
When this is not done, it may result in the board failing to understand its strengths and weaknesses. It could also hinder the board from taking the necessary actions to address areas that require improvement.
Another problem is the situation when a additional resources board doesn’t adhere to its agreed-upon improvement plans. This could happen when a board is distracted by other issues and loses focus on what was previously identified in its previous assessment.
One of the best solutions to this issue is for boards to conduct an in-depth self-evaluation every year. BoardEffect’s built in survey helps ensure accuracy and can be used as the basis for a complete board evaluation, if needed. This process allows boards to ensure that they focus on the most important issues and that their efforts contribute to the overall success of the business.