Global Best Practices for CSO, NGO, and Other Nonprofit Boards Lessons From Around the World

An ideal resource for boards everywhere

There are at least 10 million Civil Society Organizations (CSO)s in the world, each of them with a board composed of individuals doing their best to govern well and wisely. There is no single model of governance to emulate, but are there universal principles and practices that can help boards everywhere perform at the highest level.  

This book takes us for a trip around the world to look at what is working for boards. Its discoveries will help not only boards, but also nonprofit staff leaders seeking to assist their boards to optimal performance, and capacity-builders looking to strengthen their civil society sector.

Even if your organizational concerns extend no further than city boundaries, this book is for you. One of the greatest governance challenges today is a lack of diversity on the board. This can seriously hamper an organization’s ability to realize mission and to understand and serve its community. Reading this book will provide a greater understanding of how the cultural context affects governance and will sensitize the reader to different ways of thinking about governance.

Global Best Practices For CSO, NGO and Other Nonprofit Boards presents case studies from different parts of the world that illustrate effective practice, identifies and discusses interesting and significant differences, and explores global governance trends with implications for us all.

• Tests for universal truths about roles, responsibilities and practices using criteria established by BoardSource, the premier voice on nonprofit governance
• Provides information that builds exceptional nonprofit boards
• Discusses cultural differences in governance that will help all boards to better function in increasingly diverse environments
• Offers inspiration to NGO boards in any part of civil society
• Reflects on the future of governance worldwide

If you’re a capacity-builder, a board member, or an executive leader looking for guidance on governance, this is the book you’ll want to have on hand.

PENELOPE CAGNEY is the principal of The Cagney Company, consultants to CSOs in governance, planning and fundraising worldwide. She co-edited the award-winning Global Fundraising: How the World is Changing the Rules of Philanthropy (Wiley/AFP International), and authored Nonprofit Consulting Essentials: What Every Nonprofit and Consultant Needs to Know (Wiley imprint-Jossey-Bass/ Alliance of Nonprofit Management).

Acknowledgments xiii

1 Overview 1
–Penelope Cagney

Who This Book Is For 1

Introduction 2

About the Book’s Title 2

Organization of Contents 3

Framework 3

Apologies 3

Culture 4

Global Trends 8

References 11

2 Africa 13
–Mike Muchilwa

Historical and Cultural Context for Governance 13

Challenges to CSO Governance 14

Governance Successes 16

Characteristics of African CSO Boards 17

Case Study: Kenya 22

Best Practices of Kenyan Boards 26

Trends 30

Conclusion 31

Notes 32

3 Asia 33

Overview 33
–Usha Menon

Asia Overview Notes 37

Cambodia 37
–Louise Coventry

Cambodia References 43

Cambodia Notes 44

China 44
–Yinglu Li and Oma Lee

China Notes 49

India 49
–Noshir H. Dadrawala

India References 56

India Notes 56

Indonesia 56
–Darmawan Triwibowo

Indonesia References 62

Indonesia Notes 63

Japan 63
–Masataka Uo and Miho Ito

Korea 67
–Bekay Ahn

Korea References 75

Korea Further Reading 75

Philippines 76
–Usha Menon

Philippines Notes 81

Singapore 82
–Usha Menon

Singapore References 87

Singapore Notes 88

4 Australia and Aotearoa New Zealand 89
–Alan Hough and Garth Nowland-Foreman

Historical and Cultural Context for Governance 89

Understanding the NGO Sector 91

Legal Requirements Affecting NGO Boards 93

The Roles of Boards 97

Board Composition, Rotation, and Recruitment 99

Board’s Relationship with the CEO and Other Staff 101

Organization of Meetings and Culture of Inquiry 102

Evaluation and Monitoring 104

Ethical Challenges 105

Governance Trends 108

Case Study: Oxfam Australia 110

Acknowledgments 117

References 118

Notes 122

5 Central and Eastern Europe and Eurasia 123
–Marilyn Wyatt

Historical Context for Governance 123

Evolution of the Sector 124

Legal Environment 125

A Brief History of Regional Approaches to CSO

Governance 127

Looking Forward to New Practices 133

Conclusion 137

References 137

Notes 139

6 Europe 141
–Valerio Melandri

United Kingdom 142

Continental Europe 142

Mediterranean Region 143

Northern Europe 144

Promoting Board Performance Through

Remuneration and Incentives 144

Innovative Models for Boards in Europe 147

Governance Structures and Nonprofit Reality 148

Striving for an Involved Board 149

Conclusion 157

References 157

Notes 159

Further Reading 160

7 Latin America 161
–Consuelo Castro

Historical and Cultural Context for Governance 161

Relevant Legal/Tax Requirements Affecting NGO Boards 162

Composition and Recruitment Considerations 166

Organization of Meeting, Culture of Inquiry 168

Roles and Responsibilities 169

Evaluation and Monitoring 173

Trends and Case Studies of Best Practices 174

Conclusion 175

References 175

Notes 176

Further Reading 177

8 Middle East and North Africa 179
–Tariq Cheema and Naila Farouky

The Philanthropic Landscape — A Historic

Opportunity 179

The Role of Good Governance 181

Stewardship 184

Challenges to Accountability and Transparency 184

Need for Study of the Sector 186

MENA Culture 187

Case Study: Emirates Foundation 189

Case Study: AM Qattan Foundation 191

Takeaway Points 193

Conclusion 194

References 194

Notes 195

Further Reading 196

9 North America 197

Canada 197
–Krishan Mehta

Canada References 213

Canada Notes 214

Canada Further Reading 214

United States 214
–Paloma Raggo and Penelope Cagney

United States References 229

10 From Reform of Governance to Transfer of Power: The Future of International Civil Society Organizations 231
–Burkhard Gnärig

ICSOs’ Governance Model of Choice: International Federations of Autonomous National Organizations 233

The Self-Assessment: The Quality of ICSOs’ Governance 237

Towards Effective Global Governance 242

Cornerstones of ICSOs’ Transformation 248

Notes 250

11 The Future 251
–Penelope Cagney

Wealth Inequality 251

Proactive Philanthropy 252

Reaction to Globalization 252

Technological Innovation 253

Tomorrow’s Organizations 253

Servant Leadership 254

New Approaches to Governance 255

Conclusion 256

References 256

Notes 257

Further Reading 257

Appendix 259

10 Basic Responsibilities of Nonprofit Boards (Summary) 259

The Source: 12 Principles of Governance That Power Exceptional Boards 259

Notes 261

Glossary 263

About the Contributors 269

Index 277

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