by Cameron Nolan, 2012 RAHB President
The RAHB Board of Directors and Nomination (Election) Committee are moving forward with a change in philosophy of how we identify members who are well qualified as directors and how we encourage them to run for the Board. As the time when RAHB will be seeking candidates for the 2013 Board of Directors is fast approaching, members should understand what is behind this change and what our goals are.
As in most not-for-profit organizations, any member who meets criteria laid out in the bylaws is eligible for office. For RAHB the requirements are straightforward – a candidate:
- must have been a member of organized real estate for at least three years and a RAHB member for at least two;
- cannot be an undischarged bankrupt;
- cannot have been convicted of a criminal offence;
- must be financially stable;
- must have been a committee member in RAHB or another real estate association;
- must not have violated the RAHB Bylaw, CREA Code, RECO Code or REBBA 2002 in the last three years; and
- must sign a Code of Conduct for Directors.
These are reasonable requirements for a well-functioning board of directors.
RAHB’s Board is aiming to go beyond being well-functioning to being a high-functioning Board of Directors: a Board made up of directors with the skills and experience to move the association successfully into the future. RAHB is not the same trade association it was 10, 20 or 30 years ago and the Board of Directors cannot run the association as if it were.
Through much research and with guidance from our consultants, tng, we have been able to identify qualities and expertise essential to a high functioning Board. They include:
- Professional/work experience and expertise: for example, finance and accounting, legal, human resources, general business acumen and/or public relations experience
- Board experience and expertise: experience on other boards which required strategic expertise and stakeholder/member relationship strategies
- Director skills: decision-making abilities, critical thinking, assessment and understanding the role and responsibilities of a director
While it is unrealistic to expect RAHB’s Board would be made up of 12 directors who each have all the desirable attributes, it is realistic to expect most of those qualities could be found among our members. With the right mix of skills and experience, business acumen, critical thinking and expertise will come a highly effective board of directors.
How do we get that right mix on the RAHB Board? How do we ensure the best candidates for the Board are running for office?
It is first up to each member to consider the skills and experience of those they nominate and vote for at election time. Is the individual suited to be a director and do they have the skills the board of directors is identifying as important to the future success of RAHB:
- Communication
- Decision making
- Dialogue
- Emotional fortitude
- Meeting facilitation?
Secondly, the association is looking at a practice common to associations with high functioning boards – that is, actively recruiting and training directors based on skills and experience. The goal is to have a strong board with the skills and expertise to focus on ensuring RAHB is successful at serving its single-most important stakeholder – the member.
As the work of the Nomination (Election) Committee moves forward, you will hear more about the process and how you can contribute to the advancement of the association. With all the information made available to you, we hope you will think about what you will look for in a director when you vote this year. And, at any time, feel free to write to me at president@rahb.ca with your comments and questions regarding the process.
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For those members interested in reading about developments in not-for-profit governance and why we are heading in the direction we are, I am providing links to articles that have been most influential on the governance consultants and the RAHB Board of Directors.
20 Questions Directors of Not-For-Profit Organizations Should Ask about Board Recruitment, Development and Assessment by Richard LeBlanc and Hugh Lindsay. http://www.yorku.ca/rleblanc/media/2010-20QuestionsCA.pdf
Richard Leblanc is an associate professor of Law, Corporate Governance and Ethics at York University. Hugh Lindsay is an experienced professional accountant and manager who has held senior staff and line management position at a Canadian university and crown corporation. He has also served as a volunteer on the boards of professional and other non-profit organizations. He is the founder of the Financial Mentors Group and teaches and consults on corporate governance, strategic planning and risk management.
Top Governance Issues and Trends in Not-for-Profits by Lyn McDonell, CAE
http://www.csae.com/Resources/ArticlesTools/View/ArticleId/65/Top-Governance-Issues-and-Trends-in-Not-for-Profits
Building a Capable Not-for-Profit Board by Lyn McDonell, CAE
http://www.csae.com/Resources/ArticlesTools/View/ArticleId/117/Building-a-Capable-Not-for-Profit-Board
Lyn McDonell, CAE is an experienced consultant in governance, strategy and organizational alignment. As a consultant on governance and strategic issues, Lyn works with boards of directors in organizations including regional and community agencies, professional and industry associations, charities, and regulatory colleges helping leaders be effective in their fields. She has served as a member on various boards of directors and as CEO/COO for two major Canadian charities.
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