Board Charter

Key Governance Policy Document

Second to the organisation's Constitution, a Board Charter is a key governance policy document which defines the respective roles, responsibilities and authorities of the board and management in setting the direction, the management and control of the organisation.

Why have a Board Charter?

Have you ever joined a board and not known how it goes about its business and what is expected of you as a director? 

One-source reference - a board charter is a one-source document which clearly sets out how the board and you as a director are to perform your role. 

As an induction tool - a board charter acts as an induction tool for new directors and senior managers. 

Team development - development and review of the board charter is a good time to discuss those 'not mentioned' issues that are often left unattended and can lead to conflict and poor corporate governance. 

Standard key board documentation - it contains documentation templates for such things as the board meeting agenda and board paper format. 

What framework do we use?

At Effective Governance we use the Corporate Governance Charter (shown below) developed by our colleagues Professor Geoff Kiel and Dr Gavin Nicholson. 

Corporate Governance Charter - Adapted from: Kiel, G.C. and G.J. Nicholson, 2003, Boards that Work: A New Guide for Directors, Sydney: McGraw Hill