Risk assessment checklist - Not-for-Profit governance

Transcription

1 Check Yes or No or N/A (where not applicable). Where a No is indicated, some action may be required to rectify the situation. Cross-references (e.g., See FN 1.01) point to the relevant policy in the First Reference Internal Control Library. FN = Finance & Accounting PolicyPro, Volume 1; GV = Finance & Accounting Policy- Pro, Volume 2; OP = OMPP policies in FAPP electronic version; IT = Information Technology PolicyPro; NP = Not-for-Profit PolicyPro. Board establishment and operations NP1 Does the organization have a board or appropriate governing body to review and approve its strategic direction, budget, critical financial transactions and important policies? See NP2.01 NP2 NP3 NP4 NP5 NP6 NP7 NP8 NP9 NP10 NP11 NP12 Does the board meet regularly to fulfill its duties? See NP2.02 Does the board have sufficient members to enable it to fulfill its duties? See NP2.01 Does the board have appropriate diversity, with the expertise, skills and other factors needed to be effective? See NP2.01, 2.02 Are the members of the board independent? See NP2.03, 2.04 Are board meetings generally well-run and make good use of members time? See NP2.02 Are board meetings collegial and productive? Are all viewpoints heard from at board meetings? See NP2.02 Do board meetings result in clear decisions being made? See NP2.02 Does the board tend to brainstorm and identify creative approaches to problems? See NP2.02 Does the board thoroughly examine the pros and cons of all major decisions? See NP2.02 Does the board s meeting schedule have the right number and length of meetings? See NP2.02 Are the agendas of our board meetings and supporting written material given out in advance of meetings? See NP First Reference Inc. All Rights Reserved. 1

2 NP13 NP14 Do board leaders and standing committee members contribute items to meeting agendas? See NP2.02, 2.03 Are the positions of board chair and treasurer held by different individuals? See NP2.03, 2.04, 4.01 Financial oversight NP15 Does the organization maintain complete, current and accurate financial records, which the board must review on a timely basis? See NP4.01, 2.03 NP16 NP17 NP18 NP19 NP20 NP21 NP22 NP23 NP24 Are board members well-aware of their legal responsibilities for the organization s fiscal management? See NP4.01, 2.03 Does the board approve the budget of the organization annually, and monitor performance against the budget? See NP4.06, 4.01, 2.03 Does the organization manage its funds prudently? See NP4.01, 4.02, 4.03, 4.04, 4.05 Is the fiscal status of the organization regularly reviewed and needed board actions taken thoughtfully but quickly? See NP4.01, 2.03 Does board leadership take steps to ensure that fiscal reports are thoroughly understood by board members? See NP2.01 Is the annual report of the organization s independent auditor reviewed and are needed actions taken in a timely way? See NP2.03 Does the organization expend enough of its budget on programs that advance its mission and meet CRA guidelines? See NP1.02, 1.06 Does the organization expend a sufficient proportion of its budget to have effective administration in place? See NP1.02, 1.06 Does the organization have clear and reasonable expense reimbursement policies and procedures? See NP4.03, 2.03, First Reference Inc. All Rights Reserved. 2

3 Relationship between board and staff NP25 Does the board hire, oversee and evaluate the performance of the ED? See NP2.03, 2.02, 5.00, 5.01 NP26 NP27 NP28 NP29 NP30 NP31 NP32 NP33 NP34 NP35 Does the board uses a structured and participative process to recruit and hire the ED? See NP2.03, 5.00, 5.02 Does the board approve a written job description that clearly spells out the ED s responsibilities and authority? See NP2.03, 5.01, 5.02 Is the ED s performance formally assessed at least annually based on objectives established at the beginning of the fiscal year? See NP2.03, 5.03 Does the ED receive ongoing feedback regarding job performance in addition to any formal assessments? See NP2.03, 5.03 Do board members provide the necessary support and authority to allows the ED to carry out the role successfully? See NP2.03 Are there open and timely lines of communication open between the board and the ED? See NP2.03, 2.01 Are the roles and responsibilities of the board clearly defined and separate from those of the staff? Can both board and staff describe clear lines of accountability and responsibility? See NP2.03, 2.01 When a problem or conflict arises between board and staff, is it resolved quickly and effectively? See NP2.03, 2.01 Is the board well-briefed by the staff on annual plans developed by staff? See NP2.03 Does the board periodically review with the chief executive the possibility of adding new programs and services, and modifying or discontinuing current programs and services? See NP2.06, 2.01, First Reference Inc. All Rights Reserved. 3

4 Board orientation and development NP36 Is there an orientation process to introduce new board members to their roles and responsibilities? Do all board members understand their fiduciary and legal responsibilities, terms of reference, etc? See NP2.01 NP37 NP38 NP39 NP40 NP41 Does the board have a process for educating board members about the activities of the organization? See NP2.01 Do board members have sufficient information to evaluate whether the organization conducts its operations in accordance with its by-laws and policies? See NP2.01, 2.03, 1.02 Do board members have sufficient information to evaluate whether the organization conducts its operations in accordance with all statutes, laws and regulatory requirements? See NP2.01, 2.03, 1.05 Are board members sufficiently knowledgeable about the organization s programs and services? NP2.01, 2.03, 2.06 Are mechanisms in place to ensure board stability and renewal? See NP2.01 Board recruitment NP42 Does our board successfully identify the expertise, skills and other contributions needed from potential new board members to maintain or increase effectiveness? See NP2.01, 2.02 NP43 NP44 Does the board actively recruit new board members based on identified needs? See NP2.01, 2.02 When seeking members for the board, are a wide variety of referral sources used within the community? See NP2.01, 2.02 Board evaluation NP45 Do board members evaluate their contributions to the board and the organization? See NP2.02, First Reference Inc. All Rights Reserved. 4

5 NP46 NP47 NP48 NP49 Does the board annually assess the individual members satisfaction with their participation on the board? See NP2.02, 2.01 Is the effectiveness of our board and committee structure assessed at least every two to three years? See NP2.02, 2.01 Does the board regularly evaluate the effectiveness of our board meetings? See NP2.02, 2.01 Does the board have procedures for replacing board members who do not fulfill their responsibilities? See NP2.02, 2.01 Risk management NP50 Does the organization have written risk management policies that govern its work? See NP2.05 NP51 NP52 NP53 NP54 NP55 NP56 NP57 Does the organization monitor client complaints and report those that present risk to the organization to the board? See NP2.05 Does the organization conduct its operations in accordance with its by-laws and policies? See NP2.05, 1.05 Does the organization comply with all applicable laws and regulations? See NP1.05 Does the organization have a written code of ethics with which its board, staff and volunteers are familiar? See NP2.04 Does the organization have policies and procedures to ensure that conflicts of interest are disclosed and managed? See NP2.04 Does the organization have a whistleblower policy that encourages disclosure of information about violations of policies or illegal practices? See NP2.04 Does the organization establish and implement policies to protect its documents and records? See NP First Reference Inc. All Rights Reserved. 5

6 NP58 NP59 NP60 Does the organization have appropriate plans and insurance to protect its assets? See NP1.04 Does the organization make information about its operations, finances and activities available, as appropriate, to stakeholders, including the public? See NP3.03, 1.03 Does the organization have a policy to ensure that board members do not receive compensation for their activities (aside from reasonable reimbursement of expenses)? See NP2.03, 2.02 Creating a Healthy Workplace NP61 Does the organization promote a working environment where staff are treated with respect and consideration? See NP5.01, 5.05, 2.02 NP62 NP63 Has the organization s compensation structure been reviewed at least once in the last three years? See NP5.01, 5.05, 2.02 Has the board approved a written policy on the rights of staff? See NP2.02 Board policies NP64 Does the board review its governing instruments and policies at least every five years? See NP1.02 NP65 NP66 NP67 NP68 NP69 Does the board takes the primary responsibility for setting the organization s governance policies? See NP2.03, 2.02, 2.01 Are board policies and procedures in writing? See NP2.03 Does the board review policies at least annually, and update them as needed? See NP chapter 2 Does the organization identify who is to approve policies and the frequency of review? See NP chapter 2 If a new policy is needed for the board or the organization as a whole, is the issue is clearly presented to and discussed by the board? See NP chapter First Reference Inc. All Rights Reserved. 6

7 NP70 NP71 NP72 NP73 Does the full board approve all new organizational policies before they are implemented? See NP chapter 2 Do policies exist for key areas such as finance, personnel, safety and ethics and investments? See NP chapter 2 Does the organization effectively communicate policies to all board members? See NP chapter 2 Does the board have clear policies as to the length of tenure any board member may serve? See NP2.01 Leadership and planning NP74 Does the organization s mission statement accurately reflect what the organization does and the community(ies) it strives to serve? See NP 2.06 NP75 NP76 NP77 NP78 NP79 NP80 NP81 Has the board approved a mission statement for the organization? See NP 2.06 Have the board and staff reviewed the mission statement within the last three to five years? See NP2.06 Does the organization operate in a manner consistent with its mission? See NP2.06, 2.00 Has the board approved beliefs and principles or values for the organization? See NP 2.06 Have the board and staff reviewed the beliefs and principles or values within the last three to five years? See NP 2.06 Are the organization s beliefs and principles or values shared with staff, clients, community partners and other stakeholders? See NP2.06, 3.03 Is the organization s annual operational plan and budget aligned with its mission and strategic plan? See NP2.06, 3.02, First Reference Inc. All Rights Reserved. 7

8 NP82 NP83 NP84 NP85 NP86 NP87 NP88 NP89 Are board, staff, volunteers, clients and other stakeholders, as appropriate, involved in planning? See NP2.06 Does the organization develop an operational plan, monitor the plan and make changes if needed? See NP2.06 Does the board review and evaluate the organization s goals and programs regularly? See NP2.06 Does the board keep itself informed of the organization s performance against predetermined plans and goals? See NP2.06, 2.03 Is the organization s mission and purpose clearly understood and accepted by the board? See NP2.06 Have the members of the board reached consensus on a vision that indicates where the organization will be headed over the next three to five years? Does the full board collaboratively review and updates the organization s strategic plan at least every two years? See NP2.06 Do staff develop and carry out annual plans based on our board s approved strategic plan? See NP2.06 Learning and improvement NP90 Is the value of ongoing learning and improvement recognized at all levels of the organization? See NP2.01, 5.01, NP91 NP92 Are board, staff and other stakeholders, as appropriate, encouraged to reflect and identify areas for improvement within the organization or in terms of the organization s work in the community? See NP2.01, 5.03, 5.04 Has the organization developed objective indicators to evaluate one or more particular aspects of its work in the last three years? See NP2.03, First Reference Inc. All Rights Reserved. 8

9 NP93 Has the organization monitored these indicators and made improvements as a result? See NP2.03, 2.06 Client- and community-centred approach NP94 Does the organization have a policy on client rights that is shared with clients? See 3.02, 3.03 NP95 NP96 NP97 NP98 NP99 NP100 NP101 NP102 NP103 Do the members of the board of directors and/or the executive director maintain ongoing contact with MPs, MPPs, local councillors and other community leaders? See NP3.04 Does the organization have a variety of mechanisms to make it aware of community changes and issues? See 3.01, 3.02, 2.03, 2.06 Do the board and management regularly receive information about community changes and issues? See 3.01, 3.02, 2.03, 2.06 Does the organization employ mechanisms to sustain and renew its corporate membership that encourage community participation? See 3.01, 3.02, 3.03, 2.03, 2.06 Has the organization responded to community changes and issues (e.g., by developing new community partnerships, attracting new funders, developing new programs/services, increasing board, staff and volunteer skills and knowledge)? See 3.01, 3.02, 2.03, 2.06 Can the board and staff can identify changes in the community that are a direct result of the organization s involvement, advocacy or support? See 3.01, 3.02, 3.04, 2.03, 2.06 Has the organization solicited and acted upon community input to improve its performance? Is the board appropriately representative of the community/group the organization serves? See NP2.01, 2.02 Are mechanisms in place so that the board builds membership from the community/ group the organization serves? See NP2.01, 2.02, First Reference Inc. All Rights Reserved. 9

10 NP104 NP105 NP106 NP107 NP108 NP109 Does the board regularly assesses the effectiveness of our relations with our different external constituent groups? See NP2.01, 2.02, 2.06 Are most of the individual board members active either professionally or personally within the communities served by the organization? See NP2.01, 2.02 Has the board approved effective marketing and public relations strategies for the organization? See NP2.02, 2.03, 3.02, 3.03 Do individual board members actively support public relations and marketing events that benefit the organization? See NP2.03, 3.02, 3.03, 3.04 Are board members clear about who serves as official spokesperson for the organization? See NP3.03 Does the board have an approach to succession planning for officer positions? See NP2.06 Fundraising NP110 Are the organization s fund-raising needs and strategies understood by the board? See NP2.01, 2.03, 2.06, 3.02 NP111 NP112 NP113 NP114 NP115 Does the board have a clear policy on the individual board member s responsibility to raise funds? See NP2.03 Do board members play an active role in the organization s fund-raising efforts? See NP2.03, 4.02, 2.06 Does the board periodically engage in longrange fiscal planning to ensure an adequate flow of resources to the organization over time? See NP2.06 Are capital fund raising needs are reviewed regularly by the board and action taken as necessary? See NP2.06, 2.03 Do materials intended to solicit funds identify the organization and are they accurate and complete? See NP First Reference Inc. All Rights Reserved. 10

11 NP116 NP117 NP118 NP119 Are donations used for purposes consistent with the intention of the donor? See NP4.02, 1.06 Are income tax receipts, in a form authorized by the CRA, issued for all donations? See NP4.02, 4.01, 1.06 Does the organization have clear policies that prevent it from accepting a donation for a purpose that is inappropriate for program, ethical or legal reasons? See NP4.02, 4.01, 1.06, 2.04, 2.05 Does the organization provide adequate training and supervision of individuals soliciting funds on its behalf? See NP4.02, 4.01, 5.04 Board committees NP120 Do task and standing committee assignments generally reflect the interests and expertise of individual board members? See NP2.02 NP121 NP122 NP123 NP124 NP125 Does each board member serve on at least one standing board committee? See NP2.02 Do standing committees complete their tasks in an effective and timely way? See NP2.02 Do most board members actively participate in standing committee activities? See NP2.02 Do all standing committees report to the full board at least quarterly? See NP2.02 Does each standing committee establish its goals and plans at the beginning of the fiscal year? See NP First Reference Inc. All Rights Reserved. 11