Governance

"Good governance is not an outcome, it's a process; there is never a point of perfection as it organically ebbs and flows."

The term 'governance' refers to a NFP community organisation's board and its collective legal responsibility as an incorporated association, company limited by guarantee or cooperative, according to the Associations Incorporation Act 1981, and the organisation's rules.

Essential elements of good governance are:

  • Good governance structure
  • Good policies, processes and procedures
  • The right mix of people on boards or committees of management
Your organisation needs good governance to remain viable and to address issues such as authority, accountability, leadership and direction.

Governance structure

"...the development of a board and its governance structure must be organic and aligned to the organisation's requirements and mission."

Some of the big governance structure issues to consider are:
  • the legal structure of your organisation
  • the development of an organisational constitution
  • the development of an organisational charter
Some useful resources to help you decide on the right structure of your organisations:

Boards

The governing body of an incorporated association is called a "Board", a "Committee of Management" (CoM) or a "Council". Legally, an incorporated association must have rules relating to the Board.

Where to find general information about Boards:

Board membership information:

Policies, procedures and processes

Policies are agreed sets of rules and procedures with a common purpose that are critical to good governance. Your organisation's policies should provide information about what you do and, in some cases, what you don't.

It is the responsibility of the Board to ensure that policies are developed that:

  • best meet the needs of your organisation's clients and staff
  • reflect the values, belief and philosophy of your organisation
  • are relevant in terms of current legislation and regulation.

Useful resources:

Financial responsibility and accountability

Other Governance Resources

Useful links:

Strategic Planning:

Fundraising:

Risk Management:

Occupational Health and Safety:

  • OHS (PilchConnect)

Staff:

Meetings:

Troubleshooting:

Back to:

Top