Boards and Board Members Core Responsibilities

Board Leadership

Teams and team members with role clarity are substantially more effective than those without. Role clarity is a prerequisite for team performance. Equally, Boards and Board members with role clarity are substantially more effective than those without. Role ambiguity for the Board and Board members, on the other hand, is one of the greatest sources of stress in Boards.

This blog post explores the core responsibilities for Boards and for individual Board members with a view to reducing the levels of stress in Boards and enhancing Board performance.

Boards’ Core Responsibilities

Amongst Boards’ core responsibilities include the following:

  1. Helping to shape the vision and mission of the organisation;
  2. Participating in and approving strategic and policy decisions;
  3. Ensuring Leadership of the organisation, encompassing:
  • Selecting and developing the CEO;
  • Help in the selection and development of members of Senior Management; and
  • Ensuring succession planning for the CEO and members of Senior Management.
  1. Help ensure adequate financial resources for the organisation;
  2. Monitoring and improving performance, encompassing:
  • Overseeing financial performance of the organisation and ensuring adequate risk management;
  • Monitoring organisational performance against its mission and business priorities; and
  • Improving Board performance.
  1. Managing key organisational interfaces.

Board Members’ Core Responsibilities

In addition to contribution towards the achievement of overall Board performance, Board members are required to:

  1. Carry out Director duties:
  • Before Board meetings;
  • During Board meetings; and
  • After Board meetings.
  1. Carry out other duties which include membership of Board Committees.
  2. Mind:
  • Their personal characteristics; and
  • Directors’ personal liabilities.

Core Responsibilities and Sustainable Performance

The foundation for superior Board performance over time is a combination of priority setting through repeated Board evaluation. In crafting a Board Evaluation Questionnaire/ Evaluation Tool, therefore, these core responsibilities for the Board and individual Board members should be included. In addition, the questionnaire should also include the following dimensions:

  • Board composition and renewal;
  • Board governance systems;
  • Board financial oversight;
  • Board dynamics and processes; and
  • Feedback to the Board Chairperson.

The focus of evaluation is on the Board – its work, structure and dynamics. The use of a Corporate Governance Consultant will add value to the Board evaluation process.