Not-for-profit governance in the spotlight

8 August 2019 at 7:00 am
Contributor

The Australian Institute of Company Directors is running a series of national events over the coming months, to explore the findings from this year’s Not-for-Profit Governance and Performance Study.

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Contributor | 8 August 2019 at 7:00 am

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The Australian Institute of Company Directors is running a series of national events over the coming months, to explore the findings from this year’s Not-for-Profit Governance and Performance Study.

Each year, the Australian Institute of Company Directors (AICD) runs the Not-for-Profit Governance and Performance Study – the largest and most in-depth research of its kind in Australia.

When the study was launched back in 2010, it primarily focused on the contribution that directors made to the NFP community. In this year’s report, in addition to the focus on time spent on board roles, the AICD explored director remuneration, succession planning, the sports sector, the slowdown in mergers, and financial performance.

One of the key findings of the 2019 study is that NFP directors are consistently spending more time on their NFP board roles.

This finding is one that raises questions about how increased time commitment will impact boards, organisations and succession planning in the sector.

The study also shows that boards continue to focus on culture, financial performance and the diversification of income sources and are increasingly focused on improving the board’s oversight of strategy formulation and execution.

NFP Study Roadshow Events

To explore these findings in more detail, the AICD will be running a series of national events and a webinar over the coming months. The events will run in all capital cities as well as regional locations across Australia.

The AICD’s NFP sector leader, Phil Butler GAICD, will report on the key findings of the study before being joined by a panel of sector leaders. The panel will explore the issues in more detail, including how recent royal commissions are impacting not-for-profit organisations and the increased expectations on directors.

Panellists will also look at how the sector has changed over the last decade, fundamental questions about the future of the sector, new challenges on the horizon, and address issues impacting sporting organisations – many of which are applicable across sectors.

NFP Governance 101 Events

NFP Governance 101 events will also run alongside the roadshow events in select locations. These information sessions are designed for board directors and committee members of small NFP and community organisations who have had limited exposure to the principle of good governance. The events will provide guidance as to what good organisational governance looks like and the difference contemporary governance practices can make to an organisation.

These sessions will build on the AICD’s Not-for-Profit Governance Principles which provide a practical framework to help NFPs understand and achieve good governance.

The one-and-a-half-hour briefings will provide an overview of:

what good corporate governance looks like in practice
the role of directors and committee members in driving good governance
how to run effective board meetings and ensure a healthy relationship with management
how governance practices can help identify emerging issues early
the characteristics of a good director.