www.healthyboardroom.com/five-stages-of-the-board-management-maturity-model/
Over time, the way in which a board acts in preparing for its meetings, deals with issues, creates reports and manages data, changes. Boards are generally unaware of this, however a well-designed maturity model can help them understand and track their growth.
A board maturity assessment is more comprehensive and thorough than an annual review. These assessments provide boards with a path that can help them reach the next level of governance maturity.
Most boards begin at the lowest point in the maturity of their management. These are boards that are not compliant who recognize their responsibilities and public image, but view governance as an imposition on their ‘proper duties in managing the company. The first step is to change the board away from viewing governance as an administrative burden and to develop their own strategic thinking skills.
Models of maturity are typically divided into three to five levels which assess the quality of governance within an company. They assess domains like the supervision of risk, board management and stakeholder engagement. The initial stage is typically defined through impromptu processes without formal standards or alignment, while the third and second levels are more firmly documented methodologies. These methods could include benchmarking, interviews or questionnaires. Interviews can show a team’s dedication and enthusiasm for particular procedures while surveys conducted by an independent third party are more thorough and provide more of a balanced view of the current state of a board’s maturity.
