Post on 19-Jul-2015
transcript
Association Leadership and
Governance
© Signature Resources 2015 1
Faculty Les Wallace, Ph.D.
AANA Region 2 Director: Debbie Barber, CRNA, DNP, MS
March 21, 2015
Final Exam
My goal today…
You will act on something
to advance governance leadership!
© Signature Resources Inc. 2015 2
Leading in the 21st Century
“When best selling authors
bore you, you think it’s your fault.”Jim Collins
© Signature Resources 2015 3
My Best Seller…
Right Behind Good to Great
30 dimensions of Contemporary
leadership
New research on leadership
development and succession
Ten 21st Century Legacy needs
Gobs of other great stuff
© Signature Resources 2015 4
Speak to 20,000 / year on Leadership
Another Best Seller…
Right Behind Good to Great
© Signature Resources 2015
Bringing governance out
from the Shadows of the 1950s.
5
Who is this guy?
Ideal 21C job: Grandparent!
University professor / administrator
Hospital administrator—traditional Board
International consulting company…
Touch 20,000 people yr. / Coach 28 Execs / 17 Boards a year
50% for-profit / 50% government & not-for-profit clients
Served on a Bank Board of Directors
Serving on Counterpart International Board
Serving on World Future Society Board© Signature Resources 2015 6
300+ Boards
1,000+ Board Meetings
Over 100 Board Assessments
© Signature Resources 2015
The BAD, the frustrated, the disengaged.
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And then there’s committee work…
© Signature Resources 2015
A dark alley down which good ideas are led to be strangled!
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What is
The Future of
Association Governance?“The future is already here—it’s just not
evenly distributed yet.”
© Signature Resources 2015 9
Let’s see if we can do something about that!
What is The Future of
Association Leadership?
“The ever Present Future”
Benchmark, Read the Governance literature, call in the experts.
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© Signature Resources 2015 11
Synthesis of Elements of Governance
The
Professional
Association
Curse: “Old Wiring in a
New Era”
© Signature Resources 2015
Tradition—old models remain unexamined.
Time—dangerously slow to upgrade.
Timidity—we might hurt someone’s feelings.
Inexperienced leaders at the state level.12
Courage to Re-Wire the Model
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Race for Relevance: 5 Radical Changes for AssociationsH. Coerver & Mary Byers, CAE, 2011
The End of Membership As We
Know It, Sarah Sladek, 2011
Maximum Engagement C. David Gammel, 2011
Governance as Leadership:
Reframing the Work of
Nonprofit Boards,
Richard Chait,2005
Leadership
Governance Leadership Leadership is helping others find their own leadership in a
journey to personal and professional accomplishment: as
individuals, teams, & organizations.
Governance leadership is a responsibility to serve as a
“trustee” of the profession by sustaining a viable and
relevant association who serves member interests.
Let’s take a separate look at each forms of leadership.
© Signature Resources 2015 14
21st Century Leadership
All humans struggle with two common issues…
1. We want to be successful—with our work, our
families and our lives.
2. We are unable to predict the future.
That’s why leadership matters so much!
© Signature Resources 2015 15
People Everywhere
Want to be respected.
Want to feel valuable.
Want to be successful.
They Are uncertain about their future.
Get complacent when times are going well.
Wonder what their leaders are thinking.
© Signature Resources 2015 16
Traditional Views
of Leadership Position of power over budgets and people.
In charge of others.
Directing decisions about the future.
Leading the creation of new products, services, processes, partnerships.
Recognized by others as the “face” of the department or organization.
Elected, so, therefore, must be a leader.
© Signature Resources 2015 17
Leading in the 21st Century
“Leaders don’t create followers…
…they create other leaders!”
© Signature Resources 2015 18
Contemporary Views
of Leadership
Leaders are servants to families, communities, work teams and organizations.
Leaders develop other leaders.
Leaders are transformational voices—helping us all keep up with change.
Leaders help craft and achieve “common energizing visions.”
© Signature Resources 2015 19
“A good leader inspires people to have confidence in the leader,
a great leader inspires people to have confidence in themselves."
Leadership out the the 20th Century and
into the 21st Century
From “Heroic” to “Transformational”
“Whereas the heroic manager of the past knew all, could do all, and could solve every problem, the post-heroic manager asks how every problem can be solved in a way that
develops other people’s capacity to handle it.
Charles Handy, The Age of Reason
© Signature Resources 2015 20
Servants or Commanders“No one likes to be bossed!”
“The servant-leader is servant first… It
begins with the natural feeling that one
wants to serve. Then conscious choice
brings one to aspire to lead.”
“That person is sharply different from one
who is leader first because of their need to
fulfill an unusual power drive…The leader-
first and the servant-first are two extreme
types.”
© Signature Resources 2015 21
Servants or Commanders
“The difference manifests itself in
the care taken by the servant-first
to make sure that other people’s
highest priority needs are being
served.
The best test, and difficult to
administer, is:
Do those served grow as
persons?”
© Signature Resources 2015 22
Points to Ponder
Leaders of the future are known less by what they control and more by what they shape.
“The leader of the past was a person who knew how to tell. The leader of the future will be a person who knows how to ask.” Peter Drucker, 1993
© Signature Resources 2015 23
Servant Leadership
How many people are in the sales business?
Influence and facilitation of “our” decisions
rather than command.
Facilitators use phrases such as:
“What about?”
“Does this fit?”
“Could this be another option?”
“Here are some ideas I’ve been thinking about.”
© Signature Resources 2015 24
21st Century Leadership
Points to Ponder
Distributed leadership vs top down
“The most pernicious myth of all is that leadership is reserved for only a few of us.”
“When we liberate the leader in everyone,
Extraordinary things happen!”
© Signature Resources 2015 25
Questions for You?
© Signature Resources 2015 26
When’s the last time you believe you behaved as a
“servant leader?”
Coached? Mentored? Is there a difference?
Facilitate?
Develop someone else’s leadership capacity /
perspective?
Supported someone else behaving as a leader?
Building Leadership
in your Sphere of Influence
Leadership is really this simple:
Help others be as successful as they can be.
Help others gain knowledge and develop new skills.
Help others anticipate the future of their work and organization to reduce surprise.
Help others adapt to the transformation of their work and organization--anticipate and cope.
Help your entire organization / profession continue to innovate and transform to stay relevant and vibrant.
And in all things, remain honest and true to your values.
© Signature Resources 2015 27
Sets of Leadership Competencies
Vision: external awareness, strategic thinking, energizing vision.
Transformation/Adaptation: leading transitions, process redesign, facilitating innovation, developing alliances.
Developing leaders @ every level.
Communication: transparency, coaching/mentoring, influence/negotiating, interpersonal competence.
Customer /patient focus: quality, value, service, inclusion.
Self: integrity, continuous learning, personal/professional balance.
A Legacy of 21st Century Leadership, Wallace, Trinka
The Extraordinary Leader, Zenger, Folkman
© Signature Resources 2015 28
21st Century Leadership Competencies
© Signature Resources 2015
CEO Leadership Competency Governance Competency
Visioning
External awareness
Critical, strategic thinking
Creating an energizing future vision
Analyzing the changing environment
Critical, strategic thinking
Creating an energizing future vision
Adaptation/Transformation
Leading transitions
Leading work process/systems re-design
Sponsoring continuous learning
Facilitating creativity/innovation
Developing partnerships/alliances
Initiating organizational change
Leading large organization
transformation
Continuous governance development
Breakthrough thinking
Developing partnerships/alliances
Developing Leaders @ Every Level
Distributing accountability for outcomes
Creating involvement in decision making
Developing/leading multifunctional teams
Leadership development
Leveraging diversity
Committee functions distribute
leadership
Assuring inclusive member input
Engaging member leaders
Finding / growing the next generation
Leveraging diversity
Source: A Legacy of 21st Century Leadership 29
21st Century Leadership Competencies
© Signature Resources 2015
CEO Leadership Competency Governance Competency
Communication
Openness/transparency of information
Coaching / mentoring
Influence/negotiating
Interpersonal competence (emotional intelligence)
Openness/transparency of
information
Direct/professional/timely feedback
Influencing / negotiating
Interpersonal competence
Customer/Member Focus
Member value and satisfaction focus
Products/services designed with member input
Quality improvement/Risk management
Constituent value & satisfaction
focus
Constituent input
Enterprise risk management
Self
Values/ethics
Continuous learning
Personal / professional balance
Integrity / credibility
Continuous learning
Personal / Professional balance
Source: A Legacy of 21st Century Leadership
30
Marcus Buckingham, et. al., Now Discover Your
Strengths (2001).
Robert Goffee and Gareth Jones, Why Should
Anyone Be Led by You? (2009).
Daniel Goleman, Emotional Intelligence: Why It
Can Matter More Than IQ (1995).
Michael Marquardt, Leading with Questions: How
Leaders Find the Right Solutions by Knowing What
to Ask (2014).
Simon Sinek, Start with Why (2011)
Michael Unseem, The Leadership Moment (1998).
Les Wallace and Jim Trinka, A Legacy of 21st
Century Leadership (2007)
Les Wallace, Dennis Derr, Eric Meade, Personal
Success in a Team Environment (2014)
© Signature Resources 2015 31
Questions on Personal Leadership?
© Signature Resources 2015 32
On Governance: My Job Today
© Signature Resources 2015
A look @ high performance governance practices as
assembled from BoardSource, National Association of
Corporate Directors, American Hospital Association, The
Conference Board and others.
Candid opinions based on work with 300+ boards:
For-profit, non-profit, international, financial,
healthcare, community, national associations.
Likely to challenge assumptions, stretch thinking.
Open dialogue—your question is not an interruption!
“Where governance is going!”
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Leadership within
Professional Associations
© Signature Resources 2015
How can the average CRNA
contribute to leadership within their state?
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Leadership within Professional
Associations Involvement in conferences and other TxANA events.
Volunteering to help in some capacity.
Attending to the changing political and work environment.
Contributing to the PAC; attending Capitol Day.
Learning about association leadership.
Participating in feedback to the Board of Directors.
Service on task forces or committees.
Supporting your elected officers.
Running for office yourself.
Serving as an elected “trustee” of your state board.
© Signature Resources 2015 35
Ugly Realities of Professional
Membership Associations 2015 Younger members disengaging at an alarming rate.
Transparency pressures are requiring greater board and administrative time and demand a new generation of leadership.
Shallow governance literacy is rampant—a board is not a committee on steroids. Trustees need to be “governance” competent.
Virtual communities can supplant Association value.
Virtual networks can accelerate Association strategies or become viral cancers requiring enormous time and money to treat.
Traditional “bundled” member services transforming to “unbundled buffet” driven by member desire to target professional investments.
© Signature Resources 2015 36
Dilemmas in
Association Leadership
Characteristic Challenge
It’s Personal Emotion runs high on even the
smallest of issues. Emotion vs
business savvy can drive decisions.
It’s Voluntary The best frequently don’t step up.
It’s Popularity Driven Popularity does not = competency.
It’s Changing Drastically Old models challenged by younger
members. Economic stress continues
to crunch associations.
It’s Frequently Boring Traditional business meetings,
educational presentations, and
conferences based on a tired model.
© Signature Resources 2015 37
The
Professional
Association
Promise
© Signature Resources 2015
“To be personally valuable
to you and our profession.”
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© Signature Resources 2015
The Association
4 Value Promise™
4 My Region
4 My Profession
4 My Job
4 My Career
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Professional Life-Cycle
Focuses Member Need / Value
Advanced CRNA:
Advanced Clinical Competency
Leadership
Business of Anesthesia
Advocacy
Established CRNA:
Clinical Competency
Career Development
Advocacy
Leadership
New CRNA:
Clinical Competency
Personal Advocacy
OR Teamwork
Navigating their Organization
© Signature Resources 2015
The unengaged member looking for value—from students on.
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Constituent Engagement Ten Year Leadership
Development Life - Cycle
Early volunteer engagement offerings are mostly basic to prepare tactical competencies and literacy for state/regional levels of governance leadership.
Increased volunteer engagement offerings range from self-directed learning modules to workshops to required “boot camps” for officers and committee chairs. Inclusive to any member who believes they will benefit!
National level leadership engagement offerings focus on high performance governance leadership and national regional and state liaison leadership roles.
© Signature Resources 2015
The unengaged member looking for support and insight.
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National Board of Directors
Lead National Advocacy for Practice Scope / Reimbursement
ID & Deliver on 4 Member Values
Assure Leadership Pipeline
National Board Support/Develop
State Association / Local Chapter / SIG Excellence
Rally State Advocacy
Develop Engagement in Association Leadership
State Associations
Assure Professional Competence
[Clinical & Work Place Competencies]
Personal Advocacy Support
Protect Practice Scope and Reimbursement
© Signature Resources 2015 42
Economic Value of Constituent
Leadership Engagement
© Signature Resources 2015
Engagement Level Economic Value
Volunteer @ hourly support
(registration desk, conference support,
other coordination)
$50-$75/hr.
State Committee / Task Force Service $75-$100/hr.
State Board $300/hr.
National committee/task force $500/hr.
National Board $500/hr.
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Economic Value of
Leadership Engagement
© Signature Resources 2015
Engagement Level Economic Value
An all day State Board meeting
of 9 members
$21,600 of intellectual valuePlus Travel
Plus staff support
A 5 person national committee
meeting of 1.5 hours + 3 hrs. prep
$11,250 of intellectual valuePlus Travel
Plus staff support
A one day National Board
meeting of 11 members + 4 hours
prep
$66,000 of intellectual valuePlus staff support
Plus travel for all
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What is
The Business of Governance?
Fiduciary:
Financial soundness, sound
association processes, ethical and
legal responsibility.
Strategic:
Member engagement, professional
and leadership development,
advocacy, future vision for AANA.
© Signature Resources 2015 45
21st Century Governance
The role of governance is to create,
authorize and monitor the strategic
direction of the enterprise and create
values, policy and financial plans that
support vibrant delivery of their mission.
Fiduciary, policy and strategy governance.
Boards that Make a Difference, John Carver
© Signature Resources 2015 46
General Board and
Committee Accountabilities
Your mission is to provide value and positive impact for a constituent community.
Your vision is a future horizon of organization impact relevant to shifting dynamics.
Your values are the principles to which you commit your organizational practices.
Your legal responsibilities include fiduciary accountability to advance the mission
and oversee assets in a responsible matter.
Board role: policy and strategy; ensure operational systems support members;
monitor details of organizational performance and make course corrections; set
transformational strategy.
Your Committee roles: consider current and future issues; organize, evaluate and
deliver options and products for Board consideration.
Our measures: business success, constituent value, AANA vibrancy & relevance.
© Signature Resources 2015 47
Legal Obligations of Individual Board
MembersDuty of Care
Use your best judgment.
Stay informed, engaged and attentive to governance work.
Ask pertinent and challenging questions, raise ethical questions.
Duty of Loyalty
Disclose conflicts of interest.
Put aside narrow personal / professional interests.
Duty of Obedience
Support the organizational mission.
Obey the law and organizational by-laws, policies, values, and ethical standards.
© Signature Resources 2015 48
Governance vs Managerial roles
FUNCTIONS GOVERNING RESPONSIBILITY MANAGEMENT
RESPONSIBILITY
Strategic
Planning
• Set mission & Vision.
• Determine organizational values.
• Identify Service philosophy.
• Set strategic objectives (3-5 yrs).
• Ensure operational objectives are
aligned with and support strategic
objectives.
• Approve major org. realignment
• Approve new services / expansion,
cutbacks, partnering.
• ID long range operational &
strategic issues for board.
• Translate strategy into operation.
• Implement change & monitor
progress.
• Provide timely market data.
• Execute.
Finance
/Budget
• Establish annual budget.
• Approve working capital and capital
investment.
• Approve variations from budget.
• Ensure accounting system to track and
monitor use of funds.
• Ensure regular financial and operational
audits by external sources.
• Support fundraising.
• Conduct feasibility studies.
• Investment analysis.
• Financial forecasts.
• Develop annual budget.
• Prepare Pro-forma budget
statements.
• Justify budget exceptions.
• Manage cash flow.
• Fundraising/Capital
development.© Signature Resources 2015 49
Governance vs Managerial roles
FUNCTIONS GOVERNING RESPONSIBILITY MANAGEMENT
RESPONSIBILITY
Operational
Excellence
• Ensure robust constituent feedback and
evaluation of products / services.
• Ensure adequate quality processes:
planning, evaluation, improvement.
• Approve significant corrective actions &
changes in service profiles.
• Determine preferred organizational
culture.
• Regular review and update of policies.
• Collect constituent input.
• Routinely monitor quality
indicators.
• Special studies and corrective
action as needed.
• Review/update procedures.
• Translate all Board guidance
into procedures and
operations.
Public Policy • Develop strategic alliances and
partnerships.
• Maintain appropriate government,
professional and organizational
relations.
• Support professional activities.
• Establish & maintain
governmental., professional &
organizational relations.
• Serve as communication link.
© Signature Resources 2015 50
Governance vs Managerial roles
FUNCTIONS GOVERNING RESPONSIBILITY MANAGEMENT
RESPONSIBILITY
Human
Resources
• Evaluate performance/set CEO
objectives.
• Approve org. salary & benefits plans.
• Ensure legal & competitive human
resources policies.
• Ensure a leadership succession plan.
• Hire Executive Team
• Recommend salary ranges.
• Develop/manage HR system &
records.
• Performance management
system.
• Recruitment & retention.
Board
Development
• New member orientation.
• Commit to in-service & conference
attendance.
• Succession planning for board
positions.
• Evaluate Board performance.
• Assess committee functions.
• Assist new member
orientation.
• Encourage / arrange training.
• Support in governance
leadership development for
potential and new board
members.
• Assist board evaluation
process.
© Signature Resources 2015 51
Building Leadership in
the Association Sphere of Influence
Leadership is really this simple:
Help CRNAs be as successful as they can be.
Help CRNAs gain knowledge and develop new skills.
Help CRNAs anticipate the future of their work and organization to reduce surprise.
Help CRNAs adapt to the transformation of their work and organization-anticipate and cope.
Help your entire organization / profession continue to innovate and transform to stay relevant and vibrant.
And in all things, remain honest and true to your values.
© Signature Resources 2015 52
Strategic Objectives
for Associations
1. Actively influence national and state governmental
reimbursement decisions in support of CRNA
reimbursement equity.
2. Drive quality and scope of practice excellence for CRNAs.
3. Enhance state association operational and governance
excellence, and CRNA leadership development.
4. Maintain member engagement: meetings, communication,
task groups, focus groups, committees, Board service.
5. Organizational excellence: identifying what it means to be a
High Performance Professional Association.
© Signature Resources 2015 53
Ahh, Committees
and Task Forces
“If Columbus had an advisory committee he
would still be at the dock.”
© Signature Resources 2015 54
When to Use
A committee or task force
Standing Committees should be convened to provide
the Board depth of analysis and future facing ideas for
the areas of greatest organizational risk (e.g. finance,
continuing education, conferences, nominations,
government relations, programs/services, etc.)
A task force is a temporary action group charged with
a specific question, issue, opportunity that may require
heavy lifting, innovative thinking, or inclusion of other
members.
© Signature Resources 2015 55
When to Use
A committee or task forceQuestions to ask before creating a task force:
Are the organizational staff or consultant capable of answering the questions
and identifying options?
If Yes! Go here first. It’s cheaper, faster, and values your staff.
If No? Should a subject matter expert / consultant be contracted to give
direction to the board instead of a task force?
Do you need specialized input from subject matter experts in your
constituency or diverse perspective on scoping a difficult and controversial
issue? A task force can serve this purpose for a board thereby keeping the Board’s
positions open until they’ve received broader perspective.
© Signature Resources 2015 56
High Performance Committee Work Clarity: committee outcomes are VIVIDLY spelled out.
Clarity: charter clearly aligns work with Board strategic and
operational objectives.
Clarity: process expectations, boundaries and timing.
Membership: convened for capability not political currency or
payback. Fresh eyes always helpful.
Deliberation sessions focused and effective.
Transparency: full and complete to all interested!
Courageous: willing to confront the brutal facts.
Collaborative: the Board is your partner—and boss.
© Signature Resources 2015 57
Committee Contributions to High
Performance Governance Speak to the deliverable you were asked to address.
A clear annual work plan and specific individual assignments for each meeting.
Create a culture of inquiry: assure a broad spectrum scan has supported your deliberations—this includes best practices everywhere. Challenge assumptions.
Remove Klingons, Divas, and other non-leader life forms.
Never surprise the Board—inoculate early & seek advice.
Allow for a minority report if the committee is split.
Annually report accomplishment but also suggest future direction.
© Signature Resources 2015 58
Chairperson Assessments:
Advanced agendas guide our deliberations.
Ample dialogue with balanced participation is assured.
Minutes are kept and transparent to all (48 hr. turnaround).
Members are held accountable for contributions or replaced.
Any presentation—member or guest—is guided by “Executive
Summary” guidelines:
Begin with the bottom line and move backwards.
Summarize key information—let the group decide how
much detail they need.
Recommendations also in Executive Summary Format!
© Signature Resources 2015 59
The “Flipped Meeting /
Presentation”
and Executive Summaries
A Demonstration
© Signature Resources 2015 60
Linking Personal Leadership
and Governance LeadershipPersonal Leadership Governance Leadership
Servant Leadership Listen, inclusive input, responsive,
transparent, engage
Develop others Beyond clinical to leadership
Transformational voice & coach Pay attention to the changing
Association models and best
practices—change AANA
accordingly; transparent plans
“Common energizing Vision” Inclusive input into the future;
Teach members about changing
models;
Benchmark with other State
Associations doing exciting things
© Signature Resources 2015 61
Reading can help you meet new friends
Twelve Principles of Governance that Power Exceptional Boards
(BoardSource 2005)
Owning UP: The 14 Questions Every Board Member Needs to Ask
(Ram Charan, 2009)
Governance as Leadership: Reframing the Work of Nonprofit Boards
(Richard Chait, et. al., 2005)
21st Century Governance (Les Wallace, 2013)
© Signature Resources 2015 62
21st Century Governance
Boards as Committees (‘50s-’60s)
CEO Driven
Boards as Managers (’60s-’70s)
Operational / Fiduciary
Boards as Trustees (‘80s-90’s)
Policy and Strategy (John Carver)
21st Century Boards
Transformational Leaders “Board of
Directors must be a strategic asset.”
© Signature Resources 2015 63
“Nothing ages faster than
the future.” David Carr
All centuries are different as the
velocity and complexity of change
accelerates. Every generation finds
their traditional models of doing
business tested by new ideas &
demands on leadership.
© Signature Resources 2015 64
“The problem is never how to get
new innovative thoughts into your
mind, but how to get the old ones
out.”Dee Hoc, Retired CEO Visa Card Executive
21C…
It’s Quite DifferentSpeed: blinding, touching every aspect of life.
Complexity: quantum leap in mix of related forces.
Risk: upheaval raises threats and risks of “new ideas.”
Change: radical, drastic, sudden.
Surprise: unimaginable—challenging sensibility & logic.
Disrupters: new models unleashed in traditional domains.
Enterprise Size: complexity, geographical spread, enterprise culture, governance competency, speed of decision making are all impacted.
© Signature Resources 2015 65
Today’s Governance
From the LiteratureNACD Public Company Governance Survey, Nat. Association of Corp. Directors (2014)
“What Directors Think” (2014), Spencer Stuart
© Signature Resources 2015
priorities for Boards from national surveys:
① Strategic planning and oversight.
② Board composition.
③ Board refresh.
④ Risk oversight.
⑤ Regular board assessments are considered very effective by 85% of the survey population.
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Today’s Governance
From the Literature
© Signature Resources 2015
Majority of meeting time invested in “strategically focused agenda.”
Competency based director nominations.
Competency development of directors receives serious focus--40 hrs. a year [3.3 hrs. a month].
Governance Self-assessments become annual routines.
Are these themes surfacing with your Board?
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A High Performance
Governance Discipline
© Signature Resources 2015 68
Basic Fiduciary Competence
and Organizational PerformanceCompetent
Financial stability with ample operating reserve.
Regulatory compliance with few to no exceptions.
In healthcare—consistently meeting quality standards.
Constituent satisfaction and value confirmed regularly.
CEO / Executive Director board partnership with open communication, goal setting and regular feedback.
Meetings / Boardroom dynamics efficient and focused.
By-laws, policies up-to-date.
Board competent and committed.
© Signature Resources 2015 69
Applying Competency Theory
© Signature Resources 2015 70
Future
Governing Boards
© Signature Resources 2015
“In the not to distant future, new
board members, at all levels of
enterprise--from community
organization to corporations--will be
required to ‘certify governance
competency’ to quality for an
appointment / election.”Les Wallace
71
Future
Governing Boards
on the move!
© Signature Resources 2015 72
Exceeding Fiduciary Competence
and Organizational PerformanceExceeding Competent
Meeting agendas are strategic and high priority focused vs operational & activity based. 50%-70% strategic!
Real time assessment* of effectiveness following each board meeting.
Annual self-assessments and development plans drive improvement.
Minimum committees.
All committees / task forces have written charters and clearly identified outcomes or deliverable expectations.
Committee charters reviewed every couple of years.
Officer development program assures competent officers get elected.
A dose of governance leadership development at every meeting (+/- 15 minutes) e.g. compliance refresh, board’s role in organizational culture, board succession planning, etc.). [Ave director education investment 22.1 hrs. each per NACD 2012-13 survey]
*Assessment: http://www.slideshare.net/LesWallace/board-self-assessment
© Signature Resources 2015 73
21st Century Meeting AgendasFive Agenda Domains in Priority Order
1. Convene
2. Consent Agenda
3. Financial tracking / planning Items
4. Strategic Agenda Items (tied to
current or developing strategic issues)
5. Executive Session to Assess Meeting
© Signature Resources 2015 74
Executive Summaries
and “Flipped” Presentations
© Signature Resources 2015 75
“Flip That Meeting…”www.signatureresources.com/about-us/nine-minute-mentor
Exceeding Fiduciary Competence
and Organizational Performance
Exceeding Competent
Board makeup mirrors geographic and demographic footprint of
organization.
Board job descriptions identify leadership competencies required
[posted on organizational web site] (nominations, interviews, screening
confirm competencies).
Term limits (officers and board seats) assures governance refresh and
infusion of fresh eyes / new competencies.
Governance leadership succession program in place develops future
leaders from the field early…1-3 years out. This Workshop!!!!!!!!
Balanced scorecard “dashboard” provides efficient and competent
oversight vs information overload and helps the board stay out of the
weeds.
© Signature Resources 2015 76
Exceeding Competent
Performance Oversight:Uses a Balanced Scorecard/Measures Dashboard
Monitoring a set of “indicators” across the
“balance” of the organization’s work.
Distilling the “cattle call” of numbers and
progress reports from management into a
visual report card.
“Balanced Scorecard: Measures that Drive
Performance,” Kaplan/Norton HBR 2/1/2000.Research on Malcolm Baldridge Award Winners
© Signature Resources 2015 77
Competent Performance Oversight:The Balanced Scorecard/Measures Dashboard
Business Performance Constituent Performance Employee Engagement /
Organizational Culture
Budget performance
Capital investments
Operating reserve
Business expansion
performance
Individual services
performance
Robert Kaplan, Balanced Scorecard
Quality metrics
Constituent value tracking
Constituent satisfaction
Products / site specific
metrics
Community brand
measures
Harry Beckwith, Selling the Invisible
Employee climate survey
Employee retention
Employee development
Leadership development
Talent succession
Employee ideas adopted
Internal customer
surveys (tech., HR,
purchasing, facilities, etc.)
Marcus Buckingham, First, Break all the
Rules
© Signature Resources 2015 78
Other categories are common: “Learning and Growth,” “Internal Processes,”
“Corporate Social Responsibility.”
High Performance Governance
Member Conversations
At least 2-4 times a year checks on “customer/constituent”value and satisfaction (two different issues).
Satisfaction =
Value = meets my needs.
Board voice represents a broad & diverse spectrum of stakeholders.
Strategic agenda helps brand the organization as keeping up.
Robust & open communication strategy links community to Board:
Newsletter, Tweets, Facebook, dynamic website, communities
blogs—keep community informed in real time—a local branding
strategy!
Interact with your members via Facebook, Twitter, A Blog! Two
way communication.
Be alert to the era of “Ratocracy:” on-line ratings and critiques.
© Signature Resources 2015 79
The “3A”
Member Value Proposition
“I get what I need.”
“What could we do to add even greater value to you our constituents…?
Access to: information, services, sites, partners, etc.
Appropriate: do products / services fit customer needs. What’s missing?
Acceptable: customers well informed, products delivered in a way that meets needs, services meet industry standards (Parallel or ahead of peer group benchmark).
© Signature Resources 2015 80
Member Satisfaction CPR™
“I’m happy”
“How well did we deliver on the following…
Courteous Service: courteous and timely service and treatment
through each contact point and across the service continuum and all
engagements with the system.
Providing Information: timely, available, accurate, transparent, keeps
me well informed as a customer, identifies options.?
Responding to individual circumstances: dealing with problems and
goofs, helping me in an emergency, referring me to helpful
solutions/assistance, protecting my interests—warning me of risks.
© Signature Resources 2015 81
High Performance Governance
Transparent / Dialogic Tone
Unrushed board agendas assure generative dialogue occurs with 50%-70% of board agenda (Richard Chait, Governance as Leadership) .
Characterized by candid discussions with appreciative respect for diverse points of view (“When we all think alike no one thinks at all”).
NACD recommends minutes register the extent and depth of debate / deliberation.
Board votes noted by name!
Transparent—no back room agendas, limited use of “executive / closed session.”
Transparent--robust information available to constituents through dynamic web site / publications (board credentials, Ethics and values statement, corporate social responsibility statement, IRS 990 for the tax exempt, etc.).
Committee / task force proceedings available to the board in real time. (Draft minutes available within 48 hours).
© Signature Resources 2015 82
Strategic Focus Next Up for Discussion
© Signature Resources 2015 83
What do you notice about this Board picture?
© Signature Resources 2015 84
Meetings / agendas
Performance oversight / tracking
Scorecards
Board makeup, development, job descriptions
Enterprise Risk Management
Board’s role in organizational culture
Board self-assessment
Committees / charters
“Role of the Board Chairperson”
A Flipped presentation /
Discussion!
© Signature Resources 2015 85
© Signature Resources 2015
Strategy
in the 21st Century
86
21st Century Governance
and Strategy
21st Century Boards
Transformational Leaders
The Board should be a strategic asset to the organization!
What’s the implication for board makeup?
© Signature Resources 2015 87
Boards as Transformational Leaders
© Signature Resources 2015
Challenge assumptions & models
Benchmark products / performance with peer group
Empower voice of the Customer
Commit to change
Move with deliberate speed on the vital few88
Strategy and the VUCA FutureU.S. Army War College 1990’s
Volatility
Uncertainty
Complexity
Ambiguity
“Permanent Whitewater.” Peter Vaill (Learning as a Way of Being)
“The New Normal.” Warren Buffet
© Signature Resources 2015 89
“Changes in
Attitudes
Changes in
Latitudes”
© Signature Resources 2015 90
Is your Board Made Up of Strategic
Thinkers and Transformational
Leaders?
If you’re not changing your dying!
Risk aversion is a bad board characteristic; risk
assessment is an important competency.
Experience with the social and organizational technology
of change and transformation is important.
It’s important to be able to think in “scenarios” rather than
focus on a single model.
© Signature Resources 2015 91
Strategy is about Transforming the
Organization to Remain Viable, Valuable,
and Vibrant!
So your board needs to be…
Strategic thinkers.
Change compatible.
Focused on transformation of the enterprise.
Effectively navigating changing funding, regulatory and
constituent demands.
Strategic planning looking three to five years out.
Annually refreshing the strategic plan.
High Performance Governance
Strategic
Strategic plan in place looking 3-5 years out.
70% of board agenda devoted to strategic topics—future facing.
(Meetings: 30% fiduciary; 70% strategic)
Tracking / discussions of “emerging” strategy & shifts.
Discussion of “disruptions in your industry.”
Annual refresh of strategic plan.
Inclusive input from constituent leaders on strategic plan:
Past board members
Focus groups of constituents by segment (e.g. generational,
geographical, community leaders, opinion leaders, local business, etc.)
External subject matter experts
Staff! Inclusive input does not mean they vote on strategy.
© Signature Resources 2015 92
High Performance Governance
Where are we?
Get a good grip on reality.
Where could we be that’s more desirable?
Think big, dream, be innovative.
How do we get there?
Execution is crucial!
What is the strategic and financial impact?
Measurable outcomes!
© Signature Resources 2015 93
Typical Foundations
for Association StrategyAchieving sound association
management
Operational excellence
Board support/partnership
Achieving sound financial management
Budget and reserve investments
Literate/active finance committee;
dashboard tracking
Member engagement
Meetings / events; web site;
services; clinical CE
Value tracking/voluminous input
Professional leadership
development
Robust advocacy / governmental
relations
Practice scope and
reimbursement issues
PR
Collaboration with other nursing
and healthcare groups
Leadership succession
Governance leadership
development down to local
levels
Mentor programs
Board development
Student engagement
© Signature Resources 2015 94
21st Century Leadership:Strategic Thinking
Strategic Planning: “What is our
desired business position and how must
we change to get there?”
Strategic Thinking: “How might
we re-design our business to leverage
leading edge marketplace and business
models?”
Identifying an alternative future position
Anticipating opportunity and threats
Setting change priorities
Designing change pathways
Evolving / adapting systems
Outlining formal plans
Three-five year cycle
Course corrections regularly
Challenging core business assumptions
Re-inventing the business
Exploration of new paradigms
Sponsoring paradigm shifts / pilot tests
Bold innovative movement
Confirming customer value shifts
Projecting / anticipating lifecycles of
products, services, organizational model
© Signature Resources 2015 95
Some Typical Mistakes of
Organizational Strategy:
The Tatooed lady and the
Alligator Man!
© Signature Resources 2015 96
“Complexity is the enemy of execution.”
Awake for Questions
© Signature Resources 2015 97
Final Exam
You will act on something
to advance governance
leadership!
What might that be?
© Signature Resources Inc. 2015 98
Les Wallace, Ph.D.President, Signature Resources Inc.
Les@signatureresources.com Dr. Wallace is recognized for tracking business environment and workplace trends and their impact
upon business and government. His publications have appeared in Leadership Excellence, Personnel Journal, Credit Union Management, Public Management, and Nation's Business as well as numerous research and conference proceedings. His latest book, co-authored with Dr. Jim Trinka, A Legacy of 21st Century Leadership, outlines the leadership organizations need in a global, fast moving business environment. His book, Principles of 21st Century Governance (2013) is being used by many boards in the profit and not-for-profit sectors to design governance development approaches.
His new book, Personal Success in a Team Environment (2014) is used by individuals and organizations to improve teamwork, career building and success at work.
Les is a frequent consultant and speaker on issues of organizational transformation and leadership, employee engagement, strategic thinking and board of directors development and governance. His clients include Fortune 100 businesses, Government agencies, and not-for-profit organizations world-wide. Dr. Wallace is also the host resource on the 9Minute Mentor, a series short video tutorials governance.
Les has served on the Board of Security First Bank and currently serves on the international Boards of the World Future Society and Counterpart International. He is a member of the National Association of Corporate Directors. Les writes an on-line column for CUES Center for Credit Union Board Education.
Preview his video series on governance: www.signatureresources “Dr. Wallace on Camera.”
https://twitter.com/9MinuteMentor
© Signature Resources 2014 99