What is Governance?

In simple terms, governance is how groups of people organize to make and implement decisions important for the success of an organization.  Governance determines 

  • who has power - AUTHORITY
  • how to report back - ACCOUNTABILITY
  • who makes decisions - EFFECTIVENESS 
  • how others make their voices heard - TRANSPARENCY

What is a Governance Framework? 

A governance framework is a layered structure that reflects the interrelated relationships, factors and other influences that have an impact on the organization's success.  

In a non-profit organization (NPO), a good governance framework is a preferred style or organizational model, anchored to relevant federal or provincial legislation, and depicting clear intentions and relationships:

  • The Board of Directors is elected by the Members
  • The Board oversees management by appointing Committees and hiring Staff typically an Executive Director or Chief Executive Officer (ED/CEO)
  • Members elect the Board of Directors
  • Stakeholders (and/or Funders) trust that good governance will achieve promised outcomes

A well-designed governance framework helps groups of people understand and navigate cross-currents of decision-making - compliance (east-west) and performance (north-south)

The 'Elements Compass' - design and navigate good governance frameworks

The 'Elements Compass' - design and navigate good governance frameworks