Nurturing the talent pool: Challenges and opportunities of bringing on board young trustees
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Board’s to be effective need the right mix of skills, knowledge, backgrounds and experiences and perspectives to govern well, as well as embodying diversity in its widest sense (The NCVO Good Governance Guide, 2010). This talk discusses the benefits and role of 'Young Trustees' as a untapped source of talent, how we can nurture and support this talent to make a significant contribution to the governance of Scotland's third sector, charities and public bodies. But ... First of all, we need to tackle what we mean by 'young'? It's time to spill the beans .... Discussion/Workshop: How to encourage more people to get on board? To identify ways in which Trusteeship can be encouraged and how we can build relationships and networks to support the development of trustees in Scotland.
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Nurturing the talent pool: Challenges and opportunities of bringing on board young trustees
- 1. Dr. Miles Weaver ACP, The Business School, Edinburgh Napier University m.weaver@napier.ac.uk @DrMilesWeaver Nurturing the talent pool: Challenges and opportunities of bringing on board young trustees
- 2. …. That fire in the belly 57 Charity Commission statistics show that the average age of trustees in the UK is ’57’, with 67% aged over 60.
- 3. “We need to do more to attract young people to sit on boards” “Being a trustee can provide a career boost for young people and improve an organisation’s diversity – it must be encouraged” Nicholas Fryer (24/10/2013)
- 4. David Robb, Chief Executive of the Scottish Charity Regulator (Young Trustee Guide, Aug 2015) “We [OSCR] recognise that diversity among those running charities is a key aspect of good governance, ensuring that the charity can draw upon a wide range and appropriate mix of skills, experience and perspective”.
- 5. An untapped resource? • Half of charities find it hard to recruit new trustees • Third admit to recruitment being from word-of-mouth to fill places • Not unusual for trustees to be recycled between organisations Debbie Andalo (The Guardian, 10/10/12) Take one city …. 1800 voluntary sector organisations across Edinburgh An estimated 90% of voluntary organisations in the city currently have vacancies Volunteer Centre Edinburgh
- 6. Time to spill the beans … “Just 2% of UK charities have trustees aged 18-24” … anyone Under ’57’ is young!! “Age, I firmly believe, is irrelevant and should not be a barrier” Amy Clarke (BBC Website, 30/10/12) • Ensuring young voices are heard? • Boards that represent young people? The Under ’57’ Variety
- 7. ‘Variety’ and the ‘No. 57’ “The Charity Commission says creating a diverse board gives increased accountability for a charity’s actions and helps to assure the public that an organisation is fair and open.” The Guardian, 20/10/12 It’s an investment in the charity leaders of the future – and it’s never been more critical when we consider both the positive impact and increasing demands placed on the sector. [in Young Trustees Guide, August 2015] David Robb, Chief Exectuive of the Scottish Charity Regulator
- 8. Benefits of Recruiting a Diverse Board • Increasing level of research; predominately corporate boards and a focus on gender diversity. • Little research in a Scottish context – See Dutton & Raeside (2014) report commissioned by Scottish Government • Inclusive & diverse boards are more likely to be effective boards, are better able to understand their customer needs, able to develop new ideas & possess a broad range of experience (Dutton & Raeside, 2014) Benefits cited/raised at TrusteeWeek Conf: “Give-back – feel great and get ahead” 1. Fresh perspectives, diversity of thought & challenging the status quo leads to better decision-making 2. Reflecting the real world 3. Harness passion & energy 4. Access new networks 5. Reciprocal learning through mentoring arrangements 6. Consciousness to follow guidelines to ensure board effectiveness 7. Setting an example at board level 8. Casting a wider net to match board needs 9. Expectation from policy-makers & funders
- 9. Creating positive experiences for young people … “85% of under 35’s on charity boards find the experience a positive one” “Vast majority of young people (85% from 200 respondents) without board experience would consider becoming trustees” Young Charity Trustee’s Survey (2013)
- 10. Addressing Scotland’s national priorities Living Wage Zero Hours Contracts Workforce Engagement Invest in Youth Balanced Workforce Innovation Internationalisation Community Prompt Payment Creating a Fairer Scotland: What Matters to you 50/50 by 2020: Working for Diversity in the Board Room; Scotland’s fifteen National Outcomes: The purpose of Government;
- 11. In a University context … Edinburgh Napier University vision is to hold: ‘An enterprising and innovative community renowned internationally, with an unrivalled student learning experience’ Our Academic signature: ‘build concepts of global citizenship, promote diversity, ethical understanding and behaviour, and generally develop students’ social capital’
- 12. Lord Hodgson review of the Charities Act 2006 in 2013 argued for promoting trusteeship in universities.
- 13. Launched with the aim of placing Edinburgh Napier students on the boards of local charities, voluntary sector organisations or public bodies, where they could network with professionals and help make decisions which impact on the community. Edinburgh Napier’s Young Professionals Get On Board programme “Give-back – feel great and get ahead”
- 14. Get On Board programme honoured at The Herald Higher Education Award ceremony for ‘Enhancing Student Learning’ “The quality of entrants in the Enhancing Student Learning Award is testament to the creative and innovative approaches to learning and teaching in higher education in Scotland. The shortlist demonstrates how effectively learning is being linked to employability and future career skills. We would like to congratulate Edinburgh Napier University on winning.” Rowena Pelik, Director of QAA Scotland
- 15. Angus story … Former Deputy Chair of the Voluntary Action Fund ‘Trusteeship gives you a level of experience you wouldn’t get in your day job or in other forms of volunteering‘ Debbie Andalo (The Guardian, 10/10/12)
- 16. 1. ‘Board Bank’ of potential Trustee’s from diverse backgrounds and skills matched with suitable participating boards 2. Raise awareness in “Diversity on Board” challenges (e.g. age, gender) 3. Network and share good practice 4. Build links with and between partners and participating organisations 6. Promote the role of the voluntary and third sector, including as a potential preferred career choice 7. Bring people together on common areas of interest to bring about collective change (calls to action) To encourage and attract young professionals to sit on boards in Scotland and cultivate social capital in the form of a community network of Young Trustees. Pilot: ‘Students Get on Board’ programme
- 17. Leadership in Governance – Board Diversity Suite of Programmes (in development)
- 18. Challenges & suggestions to recruiting young professionals to your trustee board • Time & availability • Awareness of what trusteeship entails • Legal liability • Engagement across multiple areas • Being valued • Fear of looking stupid See YOUNG TRUSTEES GUIDE: Developing the next generation of charity leaders (August, 2015) https://www.cafonline.org/docs/default-source/about-us- publications/youngtrusteesreport_1682a_web_080915.pdf?sfvrsn=8
- 19. Summary Boards to be effective needs the right mix of skills, knowledge, backgrounds and experiences and perspectives to govern well, as well as embodying diversity in its widest sense (The NCVO Good Governance Guide, 2010) • Young Trustees an untapped resource? • If so, time to spill the beans … (the under ‘57’ variety) • Many ways to encourage young professionals to get on board • In a wider sense, we simply need to attract more trustees …. The right people ‘fit’ for the needs of board. Plenty to debate in PM workshop …
- 20. David Robb, Chief Executive of the Scottish Charity Regulator (Young Trustee Guide, Aug 2015) “It’s telling that the average age of a charity trustee is 57, so there’s a real opportunity for your trustee board to actively mentor the younger people in your organisation, and encourage those in the wider community to get involved in voluntary work”.
- 21. Dr. Miles Weaver ACP, The Business School, Edinburgh Napier University m.weaver@napier.ac.uk @DrMilesWeaver Workshop session: How to encourage more people to join boards Handout provided
- 22. Aim of Discussion To identify ways in which Trusteeship can be encouraged and how we can build relationships and networks to support the development of trustees in Scotland • Discussion 1: How can we encourage more people to consider being a trustee? • Discussion 2: How can boards ensure the diversity of board members to reflect key stakeholder groups and the skillset required to govern effectively? • Discussion 3: How can third sector organisations build relationships to encourage existing volunteers, local professionals, including University and College students to get on board? What training requirements might each group need?
- 23. Challenges & suggestions to recruiting young professionals to your trustee board • Time & availability • Awareness of what trusteeship entails • Legal liability • Engagement across multiple areas • Being valued • Fear of looking stupid See YOUNG TRUSTEES GUIDE: Developing the next generation of charity leaders (August, 2015) https://www.cafonline.org/docs/default-source/about-us- publications/youngtrusteesreport_1682a_web_080915.pdf?sfvrsn=8
- 24. Time & availability • Understand time commitment during the recruitment process • Availability of all board members
- 25. Awareness of what trusteeship entails • Trusteeship is available to most but awareness is low • Understanding of a Trustees role & responsibility • Feeling welcomed and included • Need for induction and mentoring (e.g. structure, culture) • Consider board shadowing opportunities
- 26. Legal liability • Be clear about responsibilities, rewards and potential risks • Celebrate diversity and that the taking on responsibility (rather than liability) is great for personal development • Refer to Trustee responsibilities described clearly in OSCR publication • Engagement with an organisation provides opportunities to build professional practice skills and develop deeper levels of knowledge that will provide a significant advantage in the job market • Responsibility seen as a ‘developmental opportunity’ • Point to any free training available
- 27. Engagement across multiple areas • Understand that different knowledge and experience exist so need to find new ways to ensure all board members engage (e.g. how financial statements are presented; provide some intro to agenda items to get all on same page) • Assess Training & CPD needs & ensure a quality induction
- 28. Being valued • Take young trustees seriously, with respect & be fair as you would with any other trustee • Board should communicate confidence in attracting young people to the board • Right to be involved in all board issues
- 29. Fear of looking stupid • Minimise assumptions of all trustees knowledge • Avoid information overload • Culture of valuing all inputs, questioning and scrutiny as this leads to good governance
Notes de l'éditeur
- Half of charities find it hard to recruit new trustees (Debbie Andalo in The Guardian, 10/10/12) Take one city …. 1800 voluntary sector organisations across Edinburgh An estimated 90% of voluntary organisations in the city currently have vacancies Volunteer Centre Edinburgh (2014) Charity Commission statistics show that the average age of trustees in the UK is 57, with 67% aged over 60. “Just 2% of UK charities have trustees aged 18-24” … Under ’57’ is young!! “Age, I firmly believe, is irrelevant and should not be a barrier” Amy Clarke (BBC Website, 30/10/12) Ensuring young voices are heard? Boards that represent young people?
- My experience – 3 things interest me
- The Charity Commission says creating a diverse board gives increased accountability for a charity’s actions and helps to assure the public that an organisation is fair and open Why is this so?
- MUST TAKE A DEMOGRAPHIC PERSPECTIVE AND USE GET ON BOARD EXAMPLEs Companies with more women on their boards outperform their rivals (e.g.42% higher return in sales, 66% higher return on invested capital, 53% higher return on equity (Harvard Law School, 2012) BUT … Desire to recruit a diverse board. Many boards yet in this position? NEED … right fit, passion & motivation. May have volunteered in the past. 2013 Trustee Week Dundee Conference Fit and passion Fit, passionate and motivated to organisation purpose May have volunteered with the organisation in past Support for greater demographic diversity (e.g. age, gender, and ethnicity) on boards. 2014 Trustee Week Dundee Conference Expectation rom policy-makers and funders that various groups represented yet highly proficient at strategic planning, finance, employment etc., and also hold high levels of competence with the regulatory requirements that the voluntary sector and charities face (Mackinnon, 2014) Desire to be a position of selecting a diverse board but for many getting more members is difficult Openess of board members to new members who may have less experience Companies with more women on their boards outperform their rivals (e.g.42% higher return in sales, 66% higher return on invested capital, 53% higher return on equity (Harvard Law School, 2012) 2013 Trustee Week Dundee Conference Fit and passion Fit, passionate and motivated to organisation purpose May have volunteered with the organisation in past Support for greater demographic diversity (e.g. age, gender, and ethnicity) on boards. 2014 Trustee Week Dundee Conference Expectation rom policy-makers and funders that various groups represented yet highly proficient at strategic planning, finance, employment etc., and also hold high levels of competence with the regulatory requirements that the voluntary sector and charities face (Mackinnon, 2014) Desire to be a position of selecting a diverse board but for many getting more members is difficult Openess of board members to new members who may have less experience To the individual: “Give-back – feel great and get ahead” ‘Trusteeship gives you a level of experience you wouldn’t get in your day job or in other forms of volunteering‘ (Debbie Andalo (The Guardian, 10/10/12 85% of under 35 years old (n = 200) would consider becoming a trustee (Young Charity Trustees, 2014) Valuable insight and understanding of how charities work To the board and its organisation: Reflecting the real world …service-users are diverse and need a voice Fresh breath of perspective and diversity of thought leads to healthy debate – some ‘why is that done like that’? And ‘can I put some more thought into that and come back to you?’ Harness passion and energy Misconception that young people do not have the experience. Might have what you need and can benefit from opportunity. Not just the ‘social media’ guru! Cultivate social capital with trustees employer, University, networks (more likely to be in employed) Mentoring of new trustees is also agreat development opportunity for existing trustees Need to follow guidance so may be more conscious to ensure board works effectively Setting an example Not being left behind Critical to Effective and good governance Potential benefits of Board Diversity (Ferreira, 2010) Lessons learnt / remarks Individual Organisation Creativity & different perspectives Learn from others, new challenges that could support career development Reflecting the real world … service-users are diverse Question the status quo & foster creativity Minimise ‘groupthink’ Access to resources & connections Access a new network, training and development opportunities Tap into networks that may not be available before (e.g. employers, university) Career incentives through signalling & mentoring Mentoring is a recripical way to learn – develops the mentee and mentor Lead by example – ‘A fish stinks at its head’. Promote diversity in workplace. Public relations, investor relations, and legitimacy Conforming to societal expectations expectation from funders & policy-makers (Mackinnon, 2014) Ferreira (2010) also points out the potential costs
- My beliefs: We need to nurture our future leaders today …. Provide positive and support environments to learn Mind-set & behaviours shaped by earlier trustee experience Active engagement in civil society while making a difference Governance improves as board gain a mix of talent, skills & experiences The others were union presidents lol
- Co-creation ‘build concepts of global citizenship, promote diversity, ethical understanding and behaviour, and generally develop students’ social capital’ Opportunities for student learning and reputation
- Co-creation ‘build concepts of global citizenship, promote diversity, ethical understanding and behaviour, and generally develop students’ social capital’
- Young Professionals Get On-Board Programme Whats interesting about this photo? Composition of Women
- Unite Young Trustee’s into an active organisation with the power to effect change on a range of issues (See ‘community organising’) Networking opportunities to share good practice in governance leadership, needs and challenges in the third sector Bring about “collective calls for action” by utilising the power of numbers to bring about social change
- Practice of Management (Board Governance)
- Need for mentoring
- Review the diversity on your board: How might the current diversity affect decision-making? Can it be improved in any way? If you have a space in the boardroom: Consider recruiting one additional @YoungTrustee by Easter 2016?
- Review the diversity on your board: How might the current diversity affect decision-making? Can it be improved in any way? If you have a space in the boardroom: Consider recruiting one additional @YoungTrustee by Easter 2016?
- rving as a trustee. Ian Joseph from Trustees Unlimited says charities should be candid about responsibilities and rewards involved but also about the risk.15 The benefits of being a trustee at a younger age for both the individual and the organisation are something to be celebrated and the taking on responsibility (rather than liability) is great for personal development.” ake it clear that taking on responsibility for an organisation is a positive thing to do and that being engaged in an organisation means having the opportunity to build skills and develop knowledge that can give young people a significant advantage in the job market.