December 1, 2009: Policy as Preventive and Productive Power

What works in reducing liability in the short run can help produce achievement in the long run.  Lawyers advising nonprofits have been heard to say that doing two things well will eliminate most damage awards in litigation:  1) Have policies that you should have and 2) Follow the policies that you do have.  If only we thought about board policy making (read “governance”) capacity the same way.  

Start by thinking about the short term.   If suddenly ambushed by a reporter or a potential funder or community partner, could members of your board:  1)  Explain how the organization is successful;  or 2) Describe how major programs work;  or 3) Defend current service niche boundaries; or 4) List current operational priorities ; or 5) Outline key long term challenges?  Absent this knowledge, how could board members make good decisions about the future, let along manage a short term crisis?  Isn’t knowing these types of things a core responsibility of all nonprofit trustees?  

So, helping our boards to take responsibility for policy making is perhaps the central policy of a board and staff leaders in their role of helping their boards to govern.  Many objectives begin to be attained just in this simple act of adopting the policy making stance.  A value system and sense of purpose is established for the entire board and its individual members.  Consistency can be applied to both tactical and strategic opportunities and threats.  A policy making posture provides a solid foundation from which to judge new information, ask hard questions and to provide the ongoing direction setting that constitutes essential organization governance.
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3.22 Copyright (C) 2007 Alain Georgette / Copyright (C) 2006 Frantisek Hliva. All rights reserved."