Board Self-Assessment plays a crucial role in the board’s duty to evaluate and improve its performance. Boards are often tasked with reviewing their own work to ensure that they align their board’s capabilities and expertise with company strategies and to be able to meet investor expectations for diversity. Additionally boards should carry out an evaluation of their work at least every two years.
However the procedure of conducting a self-assessment by the board can be a daunting undertaking. It can be difficult for board members to devote time to this process because many haven’t done this before. Many boards struggle to find a balance between their work and board service.
It is recommended to work with a board governance expert who can assist you in the process. The consultant will design a survey for the board, distribute it, and collect feedback on a continual basis. They will also go through the data to find relevant insights and bring these back to the board to discuss.
The board should make use of the results to clarify its own expectations. This will reduce confusion about the role of a board member as well as the best way to carry out their duties. The assessment can help identify areas that require additional training. In addition, it will aid in setting clearer boundaries regarding the expectations directors are required to maintain in their personal lives. This could be crucial when working full-time.