• 04 Apr 2023

An Introduction to Not-for-Profit and Charity Board Recruitment and On-Boarding

Not-for-profit (NFPs) and charitable organisations play a pivotal role in Australian society, providing invaluable services to the community, particularly to those who are most vulnerable. However, these entities are faced with distinct challenges in the realm of governance, especially with regard to board recruitment and training. Thus, in this article, we aim to expound upon some of the best practices in board recruitment and training for NFPs in Australia.

The board of directors (or committee) is the overarching governing body of an NFP or charity, responsible for overseeing and steering the management and direction of the organisation. The board’s primary role is to ensure that the entity is fulfilling its purpose and operating in the best interests of its stakeholders. Therefore, to achieve these ends effectively, it is of utmost importance that the board comprises skilled and experienced individuals.

Undoubtedly, recruiting the right people for your board is crucial. Recent studies show that upwards of 95% of Australian NFP and Charity boards are volunteer run. That said, board members ought to have the required skills and experience necessary to aid the organisation in achieving its objectives whether paid or unpaid. They should also exhibit a strong commitment to the organisation’s purpose and values. Additionally, training is also an important component in ensuring that board members have the necessary knowledge and skills to execute their duties effectively.

When it comes to board recruitment, there are certain best practices that NFPs ought to adhere to. One such practice is defining the skills and experience needed prior to commencing recruitment efforts. It is important to note that the skills required would be contingent upon the specific needs of the organisation, but some key competencies to seek out include financial acumen, legal expertise, marketing and communication skills, and experience within the sector in which the organisation operates.

Another useful tool in this regard is the use of a skills matrix. This approach enables the identification of the required skills and experience, whilst also ensuring the inclusion of diverse perspectives. Essentially, the matrix should outline the desired skills and experience and subsequently compare them to those of the current board members, thereby highlighting any gaps that need to be filled.

In addition, it is essential to cast a wide net when recruiting for your board. Relying solely on personal networks can be rather limiting. Instead, consider reaching out to a variety of sources, such as industry associations, professional networks, and online platforms.

Furthermore, it is vital to have a clear process for board recruitment, which should incorporate a role description, an application process, interviews, background and reference checks. A clear timeline for the recruitment process should also be established, and candidates should be kept informed throughout.

Inclusivity and diversity are also key considerations when recruiting for your board. A board that is characterized by diversity would bring a range of perspectives and experiences to the table, and as a result, would be better equipped to meet the needs of the organisation’s stakeholders. Such diversity would encompass aspects such as gender, ethnicity, age, and background.

As for board on-boarding, it is important to initiate an orientation process that offers an overview of the organisation’s purpose, values, and strategic goals, as well as an introduction to the board’s roles and responsibilities. Moreover, board members should receive ongoing training, which could cover areas such as financial management, risk management, and governance. Mentoring can also be a valuable tool, particularly for new board members, as it can facilitate quick adaptation to the role, and boost confidence.