Board Competence Review

The first step in recruiting is to set out a role profile which articulates the responsibilities of the job as well as the competencies required. The Board of Directors has a collective responsibility for the company and it should have a role profile, setting out not just its responsibilities but also the collective competencies required.

Not every member needs to excel in every required competence, but collectively, the required competencies should be covered to the level deemed necessary in the role profile.

A Competence Matrix exercise can be carried out by asking:

1. What are the competencies the board collectively need, to steer the company to success?
2. What level of competence does each member require, or how many members need to have the specific competence such that the collective can apply it effectively?
3. Where are the gaps at the level of the board collective?
4. Where are the gaps at the individual director level?

If the exercise is carried out well the output will inform:

1. The board training plan;
2. The individual director development / training plan;
3. The benchmark against which the board evaluation can be carried out; and
4. The board succession plan.

Seamus@GovernanceMatters.ie

June 2020