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It's important that boards have clear bylaws and a clear understanding of what their governance
processes are and this is a part of orienting new board members. The basic mission of the
organization and its key operating principles, the kind of financial stewardship that is
expected, for example, are represented in those bylaws. And it's also very important
that board members understand the value of having clear directives about conflict of
interest and that they scrupulously follow those guidelines. The boards should have formal
policies about issues such as conflict of interest and they should follow them very,
very carefully. I know some boards that ask their members to sign the conflict of interest
statement each and every year. It's a symbol of how important it is to follow those guidelines.
And of course there are blurred lines from time to time and in those cases the guideline,
and this is true in the business world as well as the foundation world, is full disclosure
and transparency. And if there are issues that appear to cross the line, even the appearance
of a conflict is a problem and so the board chair then has to sit down with that individual
and really deal with that issue face to face.