Govern & Grow: Are Your Policies Keeping Up With Your Organization?
When did your organization last review its policies?
Who is responsible for keeping them up to date?
And if a staff member needed an answer today, would they know where to find the right policy?
In a small organization, ‘just ask Sarah’ can work wonderfully, until Sarah is on leave, the organization has doubled in size and nobody knows where Sarah keeps the answer.
Someone asks who can approve a decision. Nobody is completely sure. A staff member finds three versions of a policy in three folders, all labelled ‘final.’
I’ve found that these issues are often the little warning signs that governance hasn’t quite kept pace with the organization.
And it’s not just something I’ve noticed. The Australian Charities and Not-for-profits Commission (ACNC) has identified over-reliance on key individuals as a governance concern in some smaller charities.
Policies should reflect how your organization actually works
Having a policy isn't the same as having a useful policy. For example, the ACNC asks charities to look beyond what exists on paper. Its governance tool considers both the policies organizations have and the practical steps they take to meet their obligations.
A policy written five years ago may no longer reflect your staffing, services, funding requirements or regulatory environment. Keep adding policies every time an issue arises, and you can quickly end up with a policy for everything except how to keep track of the policies.
What first looks like a policy problem is often also a systems problem.
The good news is you don’t need to reinvent the wheel. Useful policy templates are available through NCVO in the UK, Sector Source in Canada and the Institute of Community Directors in Australia.
I’ve found that one of the simplest governance questions organizations should ask is:
Who is responsible for making sure our policies are still fit for purpose?
Organizations should know who owns each policy. One practical approach is to do an annual check of the overall policy framework, with individual policies reviewed based on their risk and requirements.
Good governance is often about making things simpler, not adding more layers.
I’ve often found that the answer to governance issues isn’t another policy. It’s fewer, clearer policies and a review system that doesn’t rely on a Post-it note on someone’s desk.
Governance needs to grow with the organization
That doesn’t mean a 200-page manual nobody will read. It means putting the right structures in place so people know who is responsible for what and important obligations don’t fall through the cracks.
You may also find that a governance review reveals wider issues, from grant readiness to the systems and workflows behind the work.
