What are the key components of a sound governance policy?

1 Mission and vision

The first component of a sound governance policy is a clear and compelling mission and vision statement that defines your organization's purpose, values, and direction. Your mission and vision should guide all your decisions, activities, and policies, and should be communicated to your stakeholders, donors, staff, and volunteers. Your mission and vision should also be reviewed and updated regularly to ensure that they reflect your current reality and aspirations.

2 Roles and responsibilities

The second component of a sound governance policy is a well-defined and balanced distribution of roles and responsibilities among your board, executive director, staff, and committees. Your governance policy should specify the duties, expectations, and authority of each group, as well as the processes and procedures for decision-making, reporting, evaluation, and accountability. Your governance policy should also outline the criteria and methods for selecting, training, and retaining board members and executive director, and for resolving conflicts and disputes.

3 Policies and procedures

The third component of a sound governance policy is a comprehensive and consistent set of policies and procedures that cover all aspects of your organization's operations, finances, programs, and compliance. Your policies and procedures should reflect your mission and vision, as well as the best practices and standards of your sector and field. Your policies and procedures should also be documented, accessible, and enforceable, and should be reviewed and revised periodically to ensure that they are relevant and effective.

4 Risk management

The fourth component of a sound governance policy is a proactive and systematic approach to identifying, assessing, and managing the potential risks and opportunities that your organization faces. Your risk management strategy should include a risk register that lists the sources, likelihood, impact, and mitigation strategies of various risks, as well as a contingency plan that outlines the actions and responsibilities in case of a crisis or emergency. Your risk management strategy should also involve regular monitoring, reporting, and learning from your risk experiences.

5 Stakeholder engagement

The fifth component of a sound governance policy is a meaningful and inclusive engagement with your stakeholders, such as your beneficiaries, donors, partners, regulators, and community. Your stakeholder engagement strategy should aim to build trust, transparency, and collaboration with your stakeholders, as well as to solicit feedback, input, and support for your organization's mission and activities. Your stakeholder engagement strategy should also align with your communication and fundraising strategies, and should be evaluated and improved regularly.

6 Performance measurement

The sixth component of a sound governance policy is a robust and realistic performance measurement system that tracks and evaluates your organization's progress, impact, and challenges. Your performance measurement system should include a logic model that links your inputs, outputs, outcomes, and impacts, as well as a set of indicators, targets, and data sources that measure your performance. Your performance measurement system should also provide timely, accurate, and useful information for your board, executive director, staff, and stakeholders, and should inform your learning and improvement processes.

7 Here’s what else to consider

Hier können Sie uns Beispiele, Geschichten oder Erkenntnisse mitteilen, die nicht in einen der vorherigen Abschnitte passen. Was möchten Sie noch hinzufügen?