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CCP 06-24-2002
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CCP 06-24-2002
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<br />The Policy Governancc@ Model <br /> <br />Page 1 of16 <br /> <br /> <br />. <br /> <br /> <br />Policy Governance@ Defined <br /> <br />John Carver's Policy Governanee@ model is the world's only complete, universal theory of <br />governance~a conceptually coherent paradigm of principles and concepts (not of structure). The <br />model enables boards-as "servant-leaders" of shareholders, public, members (or other <br />"ownership" equivalent}--to ensure that organizations achieve board-stated goals and conduct <br />themselves with probity. <br /> <br />. Because it is a complete theory, it informs board planning, mission, committee work, agenda <br />control. budgeting, reporting, CEO evaluation, management relationships, fiduciary <br />responsibility. and all other aspects of the board job. <br />. Because it is universally applicable, it works for organizations that are new or mature, large or <br />small. profit or nonprofit (including government). and troubied or successful. <br />. Because it is carefully crafted, it enables an efficient summing of board wisdom capable of <br />adequate control without micromanagement. <br /> <br />The most thorough explanation of the Policy Governance model is in Boards That Make a <br />Difference by John Carver (Jossey-Bass, 2nd edition, 1997), although four other books and almost <br />160 published articles and monographs describe various aspects and applications of the model. . <br />The following essay jointly authored by John and Miriam Carver is, however, the most complete <br />description in an article-length form. Although Policy Governance applies to corporate and <br />governmental (including elected) boards. as well as non profits, this piece is addressed to <br />non profits. A similar article written specifically for corporate boards, "A Theory of Corporate <br />Governance: Finding a New Balance for Boards and Their CEOs." was electronically published by <br />Corporate Board Member, April 2001, at httQ;[/wwwJ).Qi!fdmember.eom. The following article was <br />originally published in French in the Canadian journal Gouvernance: Revue internationa/e. Vol. 2, nO <br />1, Hiver 2001. <br /> <br />Carver's Policy Governance@ Model in Nonprofit <br /> <br />Organizations <br />by John Carver and Miriam Carver <br /> <br />Over the last decade or two, there has been increasing interest in the composition, conduct, and <br />decision-making of nonprofit governing boards. The board-staff relationship has been at the center <br />of the discussion, but trustee characteristics, board role in planning and evaluation, committee <br />involvement, fiduciary responsibility, legal liability, and other topics have received their share of <br />attention. Nonprofit boards are not alone. for spirited debate about the nature of business boards <br />has been growing as well. Whatever the reasons for this intense interest in governance, the Policy <br />Governance model for board leadership. created by the senior author, is frequently a primary focus <br />of debate. <br /> <br />. <br /> <br />The Nature of Governance and the Need for Theory <br /> <br />http://www.carvergovemanee.com/model.htm 6/12/2002 <br />
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