The key to ensuring that governance is perfect is not just creating efficient processes and structures, but also exhibiting appropriate behaviors that build trust, creating an ethical culture, and interacting with shareholders. When boards are able to perform all of these tasks well, they will bring significant value to healthcare organizations. They can ensure that they are on the right the right track, and also move forward, to the good of the community.
Effective boards have a clear, solid structure that clearly defines their responsibilities. This includes defining the responsibilities of the chairman and chief executive officer, as well as individual directors and committees. Structures which are clearly defined allow directors to concentrate on their area of expertise, and to work together as a team.
The board must develop an extensive plan to run the company. This includes identifying critical issues and establishing strategic goals and implementing strategies for risk management. It also needs to make sure that it has the proper abilities and expertise to fulfill its responsibilities, for instance by ensuring there is a mix of relevant skills on the board and making sure that it has the required experience in a particular field.
A solid, reliable board will have a lot of knowledge, skills and experiences that will enable it to manage the most significant risks and help in the growth of the company. It will have the ability to deal with different demands and expectations from the stakeholders, whether they’re employees, customers or investors. This will require an understanding grasp of the company’s values and objectives, as well as a sound strategic plan to reach them.