Governance · The board · Component

Board evaluation

A periodic review of how the board works — composition, information, discussion and decisions — with the actions that follow from it.

The deliverable

What it is

The UK Corporate Governance Code expects an annual evaluation, and an externally facilitated one at least every three years for larger companies. The practice travels well to smaller boards and advisory boards, where nobody else will ask whether the board is useful.

Evaluations tend to be generous when a board assesses itself. More comes from asking about specific decisions — what the board changed, what it missed — and from checking a year later whether the agreed actions were taken.

One level in

What it is made of

Each element is a constituent part of the component. Follow one to see the attributes it carries.

  1. Evaluation scope

    Which aspects of the board’s work are reviewed this time, and whether the review is internal or externally facilitated.

    3 attributes: Method · Cycle · Facilitator

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  2. Findings

    What the evaluation found about the board as a whole, its committees, the chair and individual directors.

    3 attributes: Finding · Level · Confidence

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  3. Actions

    What will change as a result, who is responsible, and whether the actions from the previous evaluation were completed.

    3 attributes: Action · Owner · Status

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Start each evaluation with the previous one’s actions. The same finding two years running is itself a finding.