How to Facilitate a Board Self-Assessment
Board Self-Assessment is a critical part of the board’s responsibility for assessing and improving its own performance. In many cases, boards are charged with evaluating their own work to ensure that they align the board’s expertise and skills with company strategy and meet the expectations of investors for diversity. Boards should also conduct an extensive review at least every two years.
The process of conducting a self-assessment by the board could be a challenge. Many board members haven’t performed one before, so getting them to dedicate time to the process may take some effort. Additionally, many boards struggle to find the right balance between the demands of their jobs and their duties as board members.
To help ease the way, it is recommended to hire a board governance consultant who can guide the entire process from beginning to end. The consultant will create surveys, distribute them and collect feedback continuously. They will also analyze the data and determine the most relevant insights, then bring them back to the board to discuss.
After the results have been announced the board should make use of these results to set more clear expectations for its members. This will eliminate confusion about the role of a board member as well as how to perform their tasks. This assessment can also help identify areas where further training is required. It could also help clarify expectations for directors in their personal life which is crucial for those who work full-time.