Board Self-Assessment is a critical part of the board’s responsibility to evaluate and improve its own performance. Boards are often asked to examine their own work, to enable them to align their skills and knowledge with the company’s strategy and meet investor expectations of diversity. In addition boards should conduct an exhaustive evaluation at least once every two years.
The process of conducting a self assessment by the board isn’t easy. It may be difficult to convince board members to commit time to this task, as many have never done this before. Many boards struggle to find a balance between their job and their board’s duties.
To make the process easier, it is best to engage a board governance consultant who can assist with the entire process from beginning to end. The consultant will prepare the survey, distribute it and keep track of feedback throughout the process. They will then review the data to discover relevant information and then bring them back to the board for discussion.
The board should utilize the results to clarify its own expectations. This will reduce confusion about the role of board members and how they can fulfill their tasks. The assessment can help pinpoint areas that require additional training. Finally, it can aid in setting clearer boundaries regarding the expectations that directors must maintain in their personal lives, which could be crucial when working full-time.