NGO support toolkit (English)  >  Technical support  >  Organisational development 

Governance and strategy

An effective and committed governing body can be vital, not only to provide legal accountability, but to make sure an organisation keeps working to its vision, remains accountable to the community and sustains its mission in the long term. While strategic vision and mission may be completely new terms for some CBOs, more established NGOs may still need help in re-formulating or revising their strategic plan. Changes in the external environment, or increases in funding, often force some NGOs to re-design their internal strategy in order to expand and grow.

In many countries, NGOs and CBOs need to be governed by a Board of trustees or directors, for registration purposes. They may be elected by a wider membership or appointed by stakeholders. Their responsibilities and mode of operating will be set out in a written constitution or bye-laws, although their exact legal responsibilities will vary according to specific national legislation. In some countries, it may not be a legal requirement to have a governing body, especially in the case of small or newly formed CBOs or NGOs

All the same, by strengthening governing bodies, NGO / CBO support providers (NSPs) can really improve the effectiveness and sustainability of the organisations they are trying to develop. Often CBOs will set up a governing body just to get legal registration, without clarifying for the members of the body why it has been set up, how it should operate or what their roles and responsibilities should be. This can later lead to damaging conflict and confusion. Thus it is important for NSPs to stress the value of good governance beyond simply complying with legal formalities.

NSPs can help NGOs and CBOs clarify from the outset how much and what kind of control they want to mandate to their governing body. This can be done by jointly drafting and thinking through the implications of different elements of the terms of reference (often called constitution or bye-laws) that will govern the functioning of the governing body.

The role of board members is likely to change as the organisation grows. In new NGOs and CBOs board members may not only govern the organisation but also do much of the hands-on work. As most NGOs and CBOs grow, the role of the board tends to become one of pure governance. An NSP can assist NGOs and CBOs to shift the responsibility for running the organisation from the board itself to managers. These changes should be defined, agreed and documented as part of an updated mandate for the board members.

Issues to consider

• Leadership styles can vary from democratic and inclusive to hierarchical and controlling. This is often determined by cultural, personal or organisational historical factors. The governing body should provide some control over leadership and the style of leadership – particularly during times of change such as when the founder is succeeded by a new leader.
• Boards can be involved to different degrees in each area of management. However, a recurring theme is that less experienced board members will sometimes want to micromanage (i.e. specify decisions outside of their mandate or put inappropriate ‘pressure’ on staff). Clear mandates and delegation of tasks will help avoid this.
• In countries where payment of board members is an option, the potential adverse consequences of this need to be carefully considered. For example, payment per meeting can lead to more meetings than are necessary.
• Some boards will be confident in setting clear objectives and establishing systems and procedures for organisational management. Less experienced boards may need support in defining the vision and direction of the organisation.

Related themes

NSP Governance and strategy

• Send to a friend
• Printer-friendly