Nonprofit board members wear many hats, but governance is a crucial job. It is accountable for making sure that the charity adheres to the law, implements sound financial management policies and is able in achieving its goals. In contrast to for-profit businesses the charitable sector is not owned by anyone else. organizations, and nonprofits depend on volunteer boards to manage them effectively and ensure they are financially sustainable in the long run.
Non-profit organizations can choose from a variety board governance models. Some might even mix a few to meet their needs. The right board governance model is essential to building a strong board. It can help the organization remain focused on its goals and build a culture of transparency, accountability and innovation.
The Management Team Model is the most popular form of governance for boards in non-profit organizations. In this model, board members delegate tasks to staff and committees which are responsible for a variety of responsibilities, such as human resources and finance. However, the board maintains a leadership role in terms of hiring and managing the Executive Director.
Another popular model is the Patron Board Model. This kind of board is comprised of a number of wealthy donors who form the board. They are able to demonstrate a high level of confidence and trust in the CEO’s ability to manage the business. The board does not take part in the day-to-day operations, but they meet regularly to ensure that the CEO is up-to-date on the activities of the organization.
https://mindboardroom.com/5-most-common-nonprofit-governance-models/
