Transcript Board Assessment 2013

BOARD OVERSIGHT
COMMITTEE ASSESSING
THE
BOARD
Úna Mc Devitt, B.Comm, FCA,
MScOB
TWO KEY AREAS
1.
Know your duties
under the legislation
2.
Translate this into
practice.
1.THE LEGISLATION
 Part
IVA Credit Union Act 1997 (as
amended)
 76m – Functions of BOC
 Assess whether the BOD has operated in
accordance with Part IV, this Part and
any Regulations made for the purposes
of Part IV or this part.
 Any other matter prescribed by the Bank
in respect of which they are to have
regard to in relation to the BOD
WHAT DOES THIS MEAN?
BOC
should focus on the
performance of the board
and its governance role
Is the BOD fulfilling its
governance duties?
PART IV – BOD
DUTIES
General duty S.53(a) ‘responsible for the general
control, direction and management of the credit
union’
 Specific Duties:

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S55(1) - 19 areas outlined
S55(2) – no single person, all material decisions
S55(3) – risk management process
S55(4) – bod review own performance
S55(5) – review documented in writing
S55(6) – register of non-assignable matters
S55(7) – delegated matters are still bod responsibility
S55(8) – review of IAF
2. WHAT DOES THIS MEAN IN
PRACTICE FOR THE BOC?
1. Know the legislation
2. Meet at least once a month (S.76O(a))
3.Draw up detailed checklists of all the areas that
have to be assessed
4. Assign duties to the members of the BOC
5. Record observations and finding
6. Report to the Board at least 4 times in every
year (S.76O) (written report within 2 weeks
S76O(2)
7. Keep minutes of all meetings under 2 and 6
WORKPLAN
The BOC needs to draw up a work-plan that
ensures all areas of the BOD duties are assessed.
The work-plan should include:
1. Details of what work has to be done
2. By whom
3. By when
4. Any help available to carry out the work
WORKPLAN ELEMENTS
•
•
•
Checklists are very useful - can take the format
of ‘tick box’ columns. ( For example: ‘yes’, ‘no’,
‘don’t know’, ‘action required’ etc) or you could
use an evaluation tool that rates performance
from 1 = excellent to 5 = poor
The BOC can determine what questions to ask
in the checklist (using information from the
legislation) but can also include items from ‘best
practice’ and current research (even in the ‘for
profit’ area!)
BOC needs to be objective in their review
SAMPLE QUESTIONS
•
Legislative questions. S54(1)
•
•
•
•

Does the board meet regularly (at least 10
meetings in any year)?
Is the interval between any 2 meetings not greater
than 6 weeks
Are the meetings chaired by the chair?
Are minutes kept of each meeting?
Best practice questions
Do meetings start and end on time?
 Is there a pre-circulated agenda?
 Do people come prepared to the meeting?

RIGHTS OF BOC
S 76O(3) – right of access to books and
documents
 S76O(4) – right to attend all meetings of BOD or
committees and S76O(5) states one members of
BOC shall attend every BOD meeting
 S76R(6) – credit union shall meet all such
expenses as may be reasonably incurred by its
board oversight committee in carrying out its
functions

GIVING FEEDBACK
Needs to be heard, understood
and acted upon.
B
- behaviour
I- Impact
F- Future
WHAT NEXT?
Do your own research – lots of material available
on the internet about assessing board
effectiveness in the non-profit sector
 Read the legislation, talk to other BOCs, consider
your own development needs, further training etc
 Draw up the workplan and start assessing !
