TOOLS FOR IDENTIFYING, RECRUITING AND DEVELOPING A BOARD
BOARD MEMBERS COMMITMENT SHEET
It has been seen that in many
Organizations the Board processes are not formally documented in a systematic
way. The various processes, right from identifying to recruiting and developing
the Board are quite critical to an organization’s Governance. It needs to be
recognized that membership in any Board is a formal & legal process and
therefore there is a need to document it carefully.
Board member when appointed takes
up his/her roles & responsibility with the understanding to be effective
and being committed towards the Vision & Mission of the Organization.
However, this implicit Commitment does not get expressed formally many times in
written form. Therefore, in order to uphold the mutual accountability, a Board
members Commitment sheet needs to be signed. “Board members Commitment sheet
is both a legal as well as a moral document. It is a charter between the
Organization and the Board members to fulfill certain responsibilities and stay
accountable to each other”.
This tool box re-emphasizes the
need to document the recruitment process in a systematic manner and also
explains how to do it.
For reading the complete article
on "Board Members Commitment Sheet", click here
What are your views regarding
Board members Commitment sheet? Are they necessary for strengthening the
Governance of an Organization or merely they will increase the pile of
documents stacked in your files? Please share your views with us.
if commitment sheet is a legal document, can it be taken to court of law, if violated?
ReplyDeleteMy opinion:
ReplyDeleteI don't believe you would need the Commitment Sheet to take a board member to court. Being on the Board of the organisation would imply the acceptance of fiduciary duties, the violation of which, would allow anyone to be taken to court.
Therefore, while the sheet is good practice and makes every Board member aware of their duties, I don't believe the lack of it will prohibit someone from taking a Board member to task for negligence or incompetence.
I think legal enforceability is not important. What is important is the commitment. This is more a framework document which clarifies on paper the commitment made. It is always good to document various governance processes and therefore it should be looked at from that perspective. -Sanjay Patra
ReplyDelete