Governing With Purpose - a guide for charity trustees

 As someone who works with and serves on several third-sector boards, I have sometimes wondered why anyone does this. External criticism and internal squabbling are not unknown, and thanks are not always forthcoming. Moreover, when personal time has rarely been so squeezed, it isn't easy to get people to volunteer for this role, even if around a million people in the UK have risen to the challenge. Larger charities provide training when you become a trustee, but it can be limited for smaller ones, leaving the new trustee slightly overwhelmed.

In this context, a new book about governance in the charity sector should be welcomed. Brian Cavanagh, who has extensive experience in the public and third sectors, has written Governing with Purpose: How to lead a brilliant board – a guide for charity trustees. This is not a subject exactly brimming with previous publications. There are plenty of corporate governance books, but few focus on the charity sector.

Like Brian, I have seen examples of good governance and, sadly, some pretty poor ones. Charities have collapsed due to poor governance, and others grind on with little regard for their founding purpose. As many charities have become providers of services paid by the state, they sometimes lose their cutting edge as advocates for change, believing that they must acquiesce to government policy. It is not unheard of for a charity Chair or CEO to get a phone call from a Scottish Government minister after public criticism. As Jenny Starling said in an Open Democracy piece yesterday, 'Too fixated on doing ‘good’ and being polite, charities have stopped fighting for social justice.’

The book starts with first principles. What is good governance, and why it matters. Focusing on the big picture, vision, values and strategy rather than the minutiae of day-to-day operations. I have mentored a few senior staff in charities from other sectors, who have been surprised at the level of detail board members wanted to engage in. On the other hand, I have seen boards that nod through whatever is presented to them. Brian uses the concept of governing with purpose to suggest a different approach. He promotes the idea of governance as leadership, graphically portraying the interconnectedness as the governance square. 

This isn't just a theoretical concept. He goes on to give practical examples of how to develop good governance. The regulatory framework is not forgotten either. Something that could be stronger in Scotland. The chapter on strategy versus scrutiny is also helpful.

There are chapters on the roles of the Chair and CEO and the importance of the relationship between them. Again, in my experience, that can range between acquiescence and micro-management. I recently supported one charity when the Chair said, 'I could do her job better.' She might well have, but that was missing the point. This book has some good advice for both parties in this relationship and practical tips on how to Chair a meeting and related duties. Getting the board to focus on the 'why' of the charity is good advice.

The final section of the book is entitled ‘Re-imagining purpose’. As Brian puts it, ‘It includes bringing energy and dynamism to drive the charity forward. It is also about ensuring the ethos and purpose are not just words, but are put into practice, across the board and the rest of the charity.’ This includes stating uncomfortable truths, particularly when there needs to be alignment between what the organisation says it stands for and how it puts that into practice. The strength of trustees is that they can bring a diverse range of lived experience and expertise to the role. The final chapter in this section highlights the importance of recruitment, succession planning and board renewal. We can probably all think of the board member, or Chair, who has been there too long and recruits more people like them.

I found very little in this book that I disagreed with, and I tried! You might find some concepts a bit theoretical, but they are backed up with practical examples. Hopefully, it will spur some focus on governance in these difficult times for the sector. Unfortunately, I noticed the Scottish Government-backed 'Good Governance Award' had attracted very few takers.

For all the sage advice in this book, we should remember that being a trustee on a board should also be an enjoyable and rewarding experience. This book should help you achieve that goal and do some good on the way.