New blood in the boardroom

new-directors_web

Clubs with a 31 December year-end will be preparing for their AGMs. The month of March will often see a wave of new directors enter the scene. While new blood in the board room can be a good thing, the induction of new directors takes time and a degree of care. The first month for any director is crucial. The experience and knowledge they gain in the initial period will often set the agenda for their whole board term. Some clubs now have board inductions within an on-line environment and DWS has delivered this to a number of venues.

Here are a few key elements you might like to place on the agenda for new directors:

Constitution

The Constitution is the foundation document for the organisation. Directors should all have copies of the most up to date Constitution. New directors should be given some access to the club’s advisor to answer any questions on the Constitution.

Code of conduct

All clubs should have a code of conduct for directors, covering areas such as representing the club, confidentiality, liaison with staff, conflict of interest, access to promotional prizes and dealing with conflict situations.

Finances

Directors are expected to have at least a basic understanding of finances and financial reporting. It makes sense for directors to have a period of time with the club’s accountant, auditor and general manager to understand “how the business works” and what commitments the club has to creditors and staff.

Key regulation

New directors need to know their key regulatory duties and responsibilities. These will include regulation on gaming, alcohol, food, incorporated associations (or corporation law for companies), industrial relations, HR and workplace safety.

Policies

New directors will need a full copy of your policies.  This should include areas such as profit margins, staff management, dispute resolution, access to club premises, disclosure of interests and expense reimbursement.  These policies should be revised and kept up to date on a regular basis as a best practice measure.

Confidentiality and conflict of interest

Confidentiality and conflict of interest are the two areas that can cause some difficulties for new directors. Provide specific guidelines for new directors might and coaching in these areas so that they don’t inadvertently breach their roles and responsibilities.

For more information on a director induction program, contact John Dickson on (07) 3878 9355 or email john@dws.net.au

LATEST NEWS

Get the latest hospitality industry news delivered direct to your inbox by signing up to the DWS
Newsletter.

Having reviewed and re-written many constitutions now, we have determined the best six features that we’ve seen.

What are the signs, and more importantly, what are the common mistakes Boards and Management make to end up being another statistic?

Hiring the right people and growing the talent quotient is therefore one of the most important responsibilities and, might I add, moral obligations of every manager in an organisation. It is one of the jobs of every leader that has the biggest impact in the long term.

css.php