Embracing the Importance of Governance

Monday February 13, 2023 comments

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Here's a snippet about the governance not just being about the board.

Chyla:

What is one thing that you wish more nonprofits, you or more nonprofits acted on?

Rachel:

I wish more nonprofits understand and embrace the idea that governance matters. I think that particularly managing governance sometimes gets treated as either a side desk job or an afterthought, or it gets lumped in with another function. My experience working with charitable nonprofits, I think it tends to happen a lot that the development office kind of gives governance. It's important to take it seriously, it's important to invest the energy necessary to really boost the quality of governance system. I tend to have a bit of a pet peeve when it comes to talking about governance, as though it's only about the board.

And I think there's some literature out there that sort of hits on the idea that when people talk about governance, they think well, that's the board's job. That is kind of this isolated thing that sort of lives over here and there isn't necessarily that broader understanding that the work of governance, sure it is the domain of the board, like there's no question about the idea that the board or whoever the highest governing body is that they have the authority. But to say that, Oh, it's just the board's job or the board is supposed to do the fundraising or, as easy as it might be to say, well, governance, that's not really related.

It encompasses the entire organization it permeates throughout the entire organization. And it is in and of itself, a system of which the board is part of. But it's when you have a broader understanding of the way that it serves the entire organization as a system. I think it's easier for more people to really buy into it. And for more people to share that responsibility.

Chyla:

Yeah, that makes sense. I know, I've never thought about it in terms of this permeates the whole organization. But that's definitely how I think about the finances. I'm like, everyone plays a part. Even if you don't request a check, you still need to understand the process. So that clearly means it's true for governance, like just because you're not the one who's setting up that rule doesn't mean you don't need to have an understanding about this is how we operate, and the system we have in place to do things.

Rachel:

Right. Right. And I would maybe argue that, and I don't know if you've experienced this too, but I think that financially, you're talking about things more in terms of finances affects everyone I think is almost more accessible to people because I think people who are line workers or people who are even out in the field, they kind of understand that what they do have some impact, like dollars and cents, whether it be staff time, or do I have enough money to provide this kind of service, etc. and I kind of envy that in the sense that there's a little bit more like everyday pedestrian vocabulary attached to kind of embracing financial stewardship, where they think governance sometimes just seems like a much heavier concept and a little bit harder to kind of to wrap your head around a little bit. Yeah, I don't know if you experienced that or kind of resonate.

Chyla:

I do think it resonates. I do get that people think finances is far more accessible. I don't think they always appreciate. They're like it happens. Please submit the thing. You know, you play a part, but I need you to buy into that part. When it comes to making it more tangible from a governance perspective, you mentioned, like having the language in a finance way, but is helping them come up with a language something that you do? Do you help them say, how do we make this more accessible to everyone?

Rachel:

That's a really good question. And there are certain touch points, that I tend to sort of work inside of, that help to kind of emphasize the ways in which governance spreads across the organization.

One of the ways in which I do that is that I provide a lot of support, not only with boards, but also with committees. Committees are a key way that governance spreads its tentacles across the organization. I think that when you can introduce standard practices, and educate people about governance concepts that are specific to perhaps the committee that they work on, or if there is a volunteer advisory group that they work with, those are opportunities to really introduce things like effective meeting management, developing strong agendas, even being able to contextualize parliamentary procedure or things like that. That is one way.

Another way is report development. When people have an audience and the board if they need to do presentations, or if they need to interface with the governing body. That is another really key opportunity to introduce some of the ways in which you can kind of create that language and help people sort of understand how do you communicate with a board that helps them function at a higher level, maintain kind of that 30,000 foot view. I think that it's not so much a matter of everybody in an organization needs to sit down and learn about governance. As much as I would love to teach that class. It's something that in different engagements that I've had, it's been a little bit more organic and a little bit more situational.

Chyla:

Okay. So I guess that makes sense that it would be an organic process, like we need to be in it, and then we'll learn this is the turn we need to make.

Do you agree? Do you think the governance is more than the board?

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