By Mary Baily Wieler, MTA President
One way to get ahead on ensuring an organization’s financial stability is to create a governance budget. A governance budget evaluates the reality of an organization’s governance structures versus goals in order to assess how effectively institutional resources are being allocated. As outlined by U.S. Trust Philanthropic Solutions, the best way to begin this evaluation is to ask the right questions. How well do the talents and expertise of your board members equip you for the future? What is your current time commitment for evaluating risk? Are your leaders regularly reviewing policies to ensure that they are aligned with institutional goals?
The key to ensuring financial stability is being realistic about your capabilities and taking the necessary steps to boost areas that need work. Maybe you need to recruit a board member with a specific set of skills or hire a trusted consultant to spearhead some of your financial management.
To ensure future financial success, boards must make a time commitment to evaluate their financial management processes. By doing this, you can find weak points or gaps and take the necessary steps to fill them.
You can read the full article by our Friday Forum panel sponsor U.S. Trust, The Governance Budget: Allocating Institutional Resources Effectively, by clicking the button below: