Board Self-Assessment plays a crucial role in the board’s duty to evaluate and improve its performance. Often, boards are tasked to review their own performance in order to align the board’s skills and expertise with company strategies and to meet the expectations of investors for diversity. In addition, boards should ideally conduct an extensive evaluation at least every two years.
The process of conducting a self-assessment for the board can be daunting. It may be difficult to convince board members to devote Learn More Here about corporate governance in europe special poins time to this process because many haven’t done this before. Furthermore many boards struggle to find the ideal balance between the demands of their jobs and their board’s duties.
To help ease the way it is a good idea to engage a board governance consultant who will guide the process from start to finish. The consultant will develop surveys, distribute them and continue to collect feedback. They will also review the data and decide on the most relevant insights and then present them to the board for discussion.
After the results have been announced, the board should use them to set clearer expectations for itself. This will lessen confusion over the role of a board member and how they are expected to fulfill their tasks. The assessment can help to identify areas in which more training is required. It can also help clarify the expectations of directors in their personal life that is important for those who work full-time.