Monthly Archive for January, 2011

62. Hearing and Dealing with Hard News — a Board Chair’s Most Challenging Hour.

Published by Dr. Larry Perkins on January 24, 2011 in Board, Board Chair, Board Governance, Board Member and Senior Pastor. Closed Tags: , .

Resignation of lead pastor, moral failure of a significant church member, financial mismanagement or fraud, accident in which people associated with the church are injured or killed, facility failure, church split — the possibilities for hard news within a congregational setting surely present a daunting array. And they do happen, at points when you as chair least expect. In blog #40 I talked about ‘black swan’ events that overtake a board and surprise everyone. In this blog I take that discussion a stage further and consider a church board chair’s personal response to such events.

Recently, I had to come to terms with a situation where one of our key church partners (members) declared their intention to shift to another congregation. It was hard to hear this news and also hard to process it properly, seeking to learn what God might be saying to our board, our ministry team and our congregation through this event. As I reflected upon this experience, I concluded that the following were important things I learned as a church board chair:

1. The element of surprise  is difficult spiritually. Hard news usually catches us in unguarded moments. The surprise factor in this often can be overwhelming initially. You start to question your own leadership or second guess decisions recently made by the board. Sometimes the news causes  you to wonder whether you have a clear grasp of what the true state of the congregation is in fact. Surprise leads to doubt, but often equally to a desire to find someone or something to blame for this. Whose fault was it? — becomes a common question. The emotional and spiritual impact of this processing takes a toll that should not be underestimated and it takes some time to recover your equilibrium. Periods of prayer, careful reflection on God’s calling, and examination of your own heart become important activities as you seek to make sense personally of what has happened and gain control of your emotions. Perhaps what might be most surprising to us in such moments will be the questions we have of God, particularly the ‘why’ questions, which can be most difficult to manage.

2. It’s all about relationships.  Often the hard news will involve someone you know and respect. Not only do you have to contend with the difficult news, but you also have to figure out how to relate to that person in the light of what has happened or is supposed to have happened. The issues of guilt or innocence often become complex to sort out. People look for someone to blame, but the person or persons who are at the centre of the controversy are friends, members of the church, people you have served with, people you trust! As board chair you have to balance the relationship which you may have with those involved and the good of the whole congregation — not an easy balancing act to accomplish in the midst of a spiritual storm.

3. The chair has to work hard to help others in the board and among the church leadership to make sense of this hard news. As the hard news becomes more widely known, others within the church leadership group will experience their own spiritual and emotional responses. At the same time as you are wrestling with your own personal challenges, you will be expected to help the board members process this situation individually and collectively. The same questions you contend with personally will probably become the same questions the board will have to wrestle with as it seeks to make sense of what has happened or is alleged to have happened. This becomes an exercise in crisis management, with all of the attendant challenges. It will be important to allow space for the board members to express their perspectives within the context of the board as an initial step to help healing to begin and as a way for the board to come to terms with what may have happened. You as chair will need to facilitate that discussion in a context of prayer and careful reflection. Helping the board to discern an appropriate response for the health of the congregation and in line with the congregation’s values will be the primary goal. Above all it will be important that the board have good information and as clear a picture as possible about what may have gone wrong so that wise and appropriate decisions are made.

4. The chair has an important role to plan in ensuring that the appropriate processes have been followed in responding to the hard news. I think one of the key roles that a board chair has in facilitating a board’s work in a time of crisis involves the careful attention to policy, process, and values. Not only must the board discern what is the right thing to do, but it must also determine to do it the right way. This is only way the chair can help the board to limit potential liability, maintain credibility, lay a good foundation for healing to begin, and demonstrate Christian integrity. It may be costly to do so, but in the end, you have to ensure that the board leads in doing what is right for all concerned. Sometimes these processes will apply to the internal operations of the board (e.g. a conflict of interest issue), and sometimes to the congregational process (e.g. resignation of a pastoral leader). One of the significant elements in these matters is for the board to make sure all of its members are working from the same page. If the board is divided in a time of crisis, then no unified action will be possible within the congregation. While it may take some time for the board members to sort things through in order to discern unity, it has to be a priority for the chair. At such times it is particularly important for the board to speak with one voice. And this voice will be articulated through the chair. If the chair also serves as the moderator of congregational meetings, this dual role will add even more weight to the chair’s message on behalf of the board.

5. Use crises as educational opportunities for the board. Of course, a chair cannot do this as the crisis is happening. Once  it seems that the board has begun to move beyond the crisis, the experience may serve as a wonderful opportunity to help the board develop its capacity to govern. For example, the board members may have discerned that a current policy proved to be inadequate and needed substantial revision to be of service. Or, the board may have discovered that its mechanisms for ensuring adherence to policy were insufficient. Or, perhaps the board found that its liability insurance was barely adequate to deal with the matter. Whatever the crisis was, it always gives the chair an opportunity to help the board reflect and learn. Sometimes it provides a teachable moment to use a consultant to help the board formulate new vision, new policy, and new processes.

6. It will take extra time. Working through a crisis will always take longer than you anticipate. Recovery may also require more energy and expenditure of resources than you initially discern. As chair your priority is for the reputation of God and health and  and the congregation. The initial diligence you take to ensure that things are handled well, even though the expenditure of time may seem inordinate, will usually be rewarded in the months following the crisis. Other matters may have to be set aside until the crisis passes because you will have to give it your undivided attention. Congregations are fragile entities with trust and mutual commitment being critical “glue” that sustains the community. A crisis has the potential to dissolve this glue, with resulting fragmentation. Retaining trust and nurturing commitment will require meetings with key leaders in the congregation and additional consultations with the board and the ministry staff. Sometimes extraordinary congregational meetings will be necessary and each will have to be planned well to ensure a good outcome.

7. Your personal example is incredibly important. How you act personally in response to the crisis will affect the ability of the board and the congregation to weather it well. Your example of wisdom, prayerful reflection, commitment to fairness and due process, has the potential to become a stabilizing influence. Remember that you chair the board — the group of mature spiritual leaders in whom the congregation has entrusted its good governance. If the board does not demonstrate spiritual intelligence in the response to this crisis, how can it expect the congregation to handle it well?


Crises come and crises pass. They are opportunities to grow our faith, to discern God’s faithfulness, and to improve the life and ministry of the congregation. As chair you will find yourself in the midst of spiritual struggles that  are beyond your ability to resolve and so you will need to walk with strong faith in and dependence upon the Holy Spirit. Sometimes things will not get healed. Sometimes damage is severe and irreparable. In such situations your confidence in God’s care and ability to bring good out of something that is debilitating may be the means God will use to start the journey into a better future.

61. Role Description for a Church Board Chair — Research Request

Published by Dr. Larry Perkins on January 14, 2011 in Board Chair, Board Member and Senior Pastor. Closed Tags: .

I am doing research on how the role of a church board chair is being defined. If you are a board chair, lead pastor, or a board member and your board has such a role description, would you be willing to send an electronic copy to me, please? I will keep the source confidential.

You can use the response mechanism on the website to forward it to me.

 

Thank you for your help.

Larry Perkins.

60. What is a “Policy” and Why is it a useful tool for a Board Chair?

Published by Dr. Larry Perkins on January 14, 2011 in Board, Board Chair, Board Governance and Senior Pastor. Closed Tags: , .

Church board chairs hear a lot about policy and governance by policy today. I have in previous blogs sought to define the concept of governance. But in this blog I give attention to the concept of “policy.”  What is a policy and how can such instruments enable a church board chair to help a board operate more biblically, effectively and efficiently?

The term “policy” is defined in various ways. For example, a policy is “a statement of principles and/or values that mandate or constrain the performance of activities used in achieving institutional goals.” Another definition is that a policy “is any standard, statement, or procedure of general applicability adopted by the Board of Trustees pursuant to authority delegated by law” or by the authorizing body. i.e. a congregation.

These definitions indicate several features that should be considered in developing a policy:

1. A policy is a written statement. Too often church boards will tend to operate on the basis of unwritten policy, following traditions. However, when difficult times arise or hard issues have to be considered, memories are usually less than accurate repositories of policy. And if two board members ‘remember’ it differently, whose version will you embrace? Which is the ‘official’ version? Policies need to be written, with wording reviewed and approved by the board through specific motion. A copy of the approved policy should be attached as an addendum to the formal minutes from that meeting for future reference. The policy should be dated so that you know which version of the policy you are using at any one time. These details may seem like overkill, but you will be surprised how short memories become, whether individual or collective, as to when a policy was approved and which version is the official one. Written policies encourage transparency, enable all board members to access them equally and allow for a timely review and updating.

2. A policy defines limits. One of the more useful things that policies provide for a church board is clarity about limits regarding use of authority,  decision-making, expenditure of funds, time frames for reporting, etc. Such limits  both empower leaders appropriately and control potential abuse. When good policies are in place the board can focus its energy on critical and strategic issues because it knows that its worry points are being covered. If policy is not being followed, then a board realizes that it needs to give attention to that area of its operations lest it incur unnecessary risk or to revise policy in the light of new realities. Once the board does define limits through policy, it has to take responsibility to ensure that the limitations are being followed regularly. Exceptions to policy should be board decisions in the case of all board policies.

3. A policy requires official approval.  For the board nothing is policy unless it has approved it by motion. Of course, policy exists at many levels of an organization, but when it comes to board policy, only the board can make it and it must make it by formal motion. Without formal approval a ‘policy’ is merely a discussion point or the opinion of one or two board members. It has no official standing with the board. When a board chair faces a situation in a board meeting where no current policy exists to guide the deliberation, he or she might propose several possible directions and seek the board’s support for one of them. Once that support is granted, then the chair knows how to guide the board. At a subsequent meeting the chair might ask the board whether it wishes to formally develop and adopt a policy based upon the prior situation. Current, widely available computer software allows a board to develop an electronic file of all policies that all board members can access at any time.

4. A policy has to be implemented to be effective. When a board has put energy and time into developing and approving policy, then it should discipline itself to adhere to it. An orientation for new board member becomes a significant time to provide education about current board policy, new policies being discussed, and the protocols by which new policies are developed, discussed and adopted. It is good for the board to develop for itself a schedule (probably multi-year) during which all policies are regularly reviewed. This keeps the policies somewhat fresh in the board’s mind, enables the board to revise them appropriately, and gives opportunity to eliminate policies that no longer are relevant. Sometimes it is helpful when developing a policy to stipulate how often it must be reviewed or put a sunset clause within it. This requires the board to keep its policies fresh.

5. A policy has to match the appropriate level of authority. In creating policy a board has to ensure that it does not begin to micromanage through policy. A church board’s policies should be broad based, giving to the lead pastor or other leaders scope within which to apply a specific policy. What a policy should do is set appropriate limits within which specific action can be taken. The most important policy that a board establishes is what Carver has termed “Ends Policy,” i.e.  defining the primary outcome that the agency or church has to achieve in order to fulfill its mission. Once the ends policy is defined, every other policy should serve to enable the board to ensure that the ends policy is being achieved. Executives should have the authority to establish internal, management policy that is consistent with the mission, values and ends policy. Congregational ‘policy’ normally will be embedded in bylaws. The board alone sets policy to define its operations within the context of the institution’s bylaws.

6. A policy is only as good as the thoughtfulness put into its creation. As your board develops policy take the time to write it as well as possible. Clarity is important because it will not take long before people on the board forget the context of the discussion and do not remember what they may have intended to say. If necessary put some definitions in footnotes so that you capture the intended meaning. Include a date for required review. Make sure the title matches the content. Use some sort of numbering system to keep track of your policies according to type (i.e. ends policy, board operational policy, executive limitation policies, institutional policies, etc.). The numbering system can be linked to the year in which the policy was created to form an easy way to track the date at which a policy was created or revised. When a policy is revised note the date of the revision. It is also helpful to state specifically in the introduction to the policy what it is intended to accomplish and who is responsible for its implementation and oversight. As well, if the board expects any reporting in regards to the policy, stipulate who is to do this and how often.

7. Church board policies will always have a spiritual frame of reference. One might ask whether we discern Paul or Peter working with early church leaders to define policy. I think one example might be the result of the discussion in Jerusalem (Acts 15) regarding the status of Gentile believers in the church. After debate the group agrees on a policy, i.e. that non-Jewish Christians do not have to become Jews in order to be full members of the Messianic movement. However, they do give some guidelines that would help this assimilation process. The primary point is that church boards must keep in mind the spiritual context in which their work is centred. This requires them to ensure that all policies are consistent with biblical principles and the specific values the church’s statement of faith articulates. This may mean that some policies may reference particular scriptural texts. It will undoubtedly mean that church boards will have policies about some things that other non-profits do not. For exampled, a church board may find it helpful to develop policy that guides it in considering who is qualified for leadership roles in the congregation. Finally, you will find that some organizations can help you develop policy because they will provide some policy templates. For example, the Canadian Council of Christian Charities has many helpful resources. Similarly your denominational head office will often be a useful source of information.

Policies are key tools that enable a board chair to facilitate the board’s work. They provide a framework of authorization, accepted procedures and agreed values. With these in hand a chair knows the limits of his or her authority and the operational preferences that the board has established. Without a good set of policies a board chair lacks a clear sense of what the board is to do, how it wishes to operate or the values it will follow in its work. Such a situation is a certain formula for frustration, conflict, and bad decisions. Do not think you have to rush to create all board policies as quickly as possible. Take your time, do it right, and soon the board members will discern the value of good policy. It will make their work more effective and more satisfying. As critical issues arise and are dealt with you will find it helpful to develop new policy.

59. Policy, Governance and Biblical Principles

Published by Dr. Larry Perkins on January 10, 2011 in Board, Board Chair, Board Governance and Board Member. Closed Tags: .
Phillip Jenkins has defined boards as “the well-intentioned in full pursuit of the irrelevant.” While this is a rather pessimistic and cynical evaluation, church boards often fall into this mode of operation. Church boards tend to operate by functioning as a advisors and rubber stamps or by meddling and micromanaging. Although the intention of board members in operating in such ways might be good, the results fall far short of the potential such boards could have in advancing their congregation’s mission. These realities which historically have been endemic among non-profit agency boards led John Carver to develop and advance his ideas now known as “Policy Governance” (a registered phrase). However, because Carver’s ideas were developed outside of the framework of Christian communities and church boards, some wonder whether they are compatible with biblical principles and congregational forms of church governance in particular.
Richard Biery argues that the fit between Carver’s principles and biblical values is very close. He defines linkages between four primary Carver principles — the servant leadership role of the board in stewardship, accountability, empowerment within policy guidelines, and clarity of values, i.e. the ends the board desires the organization to achieve. As well he shows how values such as integrity,  the use of words, and excellence, as well as the concept of covenant and the wise use of resources similarly are harmonious with biblical perspectives.
I would add several, broader categories of biblical concern that Carver’s model addresses.
1. Ensuring the appropriate location of authority.
Applying the principles developed by Carver requires a non-profit agency to sort out the question of authority. In the context of a congregation, the implementation of his ideas enables the church board to discern its role, to define clearly the role of the pastoral staff, and to articulate how other stakeholders in that context speak into respective decisions. The writers of the New Testament were careful to control the use of authority within the church and quick to condemn its abuse. In the cultural setting of the Roman Empire, where authoritarian modes of control were dominant, the principles of Kingdom living Jesus taught created a community in which authority, while present, was to be expressed within the values of sacrifice, service, love, and grace. Authority in the congregation was always to be exercised in trust for the good of the body and not for selfish reasons. Carver’s principles enable a congregation to assign appropriate authority but also implement checks and balances so that authority is employed for advancing the mission in ways that are consistent with the values of the congregation. This model requires both church board and pastoral staff to submit to the distribution of authority as defined by the congregation.
2. Providing an effective and efficient leadership structure.
Jesus, Paul and Peter addressed matters of leadership within the church. Jesus talked about values and vision, primarily, but Paul and Peter also treated matters specific to leadership principles and structure. The metaphor of “body” that Paul invoked to illustrate the nature of the Christian church has embedded within it concepts of structure. When he expanded the metaphor in Ephesians 4:11ff, he described the body as joined together and working well because every part is restored to its created order and obediently fulfilling its function for the good of the body. The result is that the body grows the whole body (Ephesians 4:16) empowered by Jesus Christ and his gifts to the body. Paul again in 1 Corinthians 14:40 urges that everything be done “decently and in order.” In Acts we see how the Holy Spirit guided the church through various crises to develop new structures to facilitate its mission and ministry. Although structure and leadership patterns are diverse, there are many places where both are addressed. Carver’s principles take up this concern for clear, effective and efficient leadership structures and enable a church to define and implement such structures. In particular the clarity his principles require for the board’s leadership, the pastoral leadership and the congregational leadership enable each to work coherently together because they understand their respective contributions to the leadership of the congregation. Yet Carver’s principles provide considerable flexibility in their implementation.
3. Keeping the board on mission.
A key element in Carver’s philosophy of board operations is the definition of the primary “end” or outcome that the agency was created to accomplish. Once this is discerned and agreed upon, then all that the board does has to work  in some fashion towards achieving this end. This singularity of focus brings discipline to the board and its operations. As well, it fosters unity and requires alignment of purpose within the roles of the staff. People know the direction, resources are applied to pursuing that direction, and evaluations are related to progress made towards achieving the goal.
4. Elevating the role of church board members.
The New Testament writers denounced the pursuit of leadership in the church for purposes of personal status and ambition. Yet, the writers encouraged the proper recognition of those who give their time, energy and giftings to serve the people of God well. Enabling believers to live out their calling in Christ in meaningful ways is also valued. Carver’s principles enable the board itself and the stakeholders in and related to the local church to recognize appropriately and to respect the important role that the church board fulfills. Too often within the congregation the board is regarded as a committee doing some kind of administrative work, rather than the energized, Spirit-directed ministry team that is giving its full attention to the accomplishment of the church’s mission.  When church board members discern how directly connected their work is to the achievement of the church’s mission, it has the capacity to transform their sense of service.
5. Enabling voices to be heard.
The belief in biblical principles such as the priesthood of believers, the equal relationship that all believers have with and in Christ, the role of the Holy Spirit in every believer’s life, the concept of the giftedness and empowerment for ministry, all contribute to the importance that a church board must place upon enabling voices within the congregation to be heard respectfully and prayerfully. Carver’s principles allow for, encourage and enable church boards to develop and adhere to appropriate mechanisms that support shared governance. This means that the board knows and values the ways and means that the bylaws provide for congregational input and decisions. Similarly, the board understands the appropriate involvement of staff in its decisions and values that input. Too often church conflict arises because church boards do not know or do not value the input of appropriate congregational segments into the decision-making progress.
What does all this mean for a church board chair when considering ways to enhance the development of his or her board? Is the Carver model an appropriate means for a church board to define its role? Does it cohere with biblical principles and values? I think the answer is yes, provided there is trust and integrity being used in proposing such a transition. All systems can be abused, even the Carver model. However, if it is implemented well, with good understanding, and with a view to enhancing the theological and other values that the church embraces, then it can be a very productive and energizing church board development. As chair you would play a significant role in introducing such a proposed change, helping the board educate itself about this decision so that it discerns its value, and then working carefully and transparently to implement it, if the board decides to proceed. Recognize that implementation will take about two years.

58. What Makes a Church Board Effective? #6 Commitment to Strategic Priorities

Published by Dr. Larry Perkins on January 3, 2011 in Board, Board Chair, Board Governance and Board Member. Closed Tags: , , .

Keeping a church board on task has to be one of the most challenging and frustrating responsibilities that a church board chair manages. It seems that many individuals and issues conspire to derail a church board from its primary purposes and diffuse its energy, resulting in wasted time, dissatisfied board members, and loss of ministry momentum. Church board effectiveness is directly related to the ability and discipline of the board to keep focused upon strategic priorities — whether these are defined in spiritual or in other terms. Somehow a board chair has to discern with the board what these strategic priorities are for a specific year and then through determined leadership assist the board to move towards addressing those priorities. Doing this requires hard work, humour, and no small degree of holy dissatisfaction, i.e. the conviction that God is at work in the congregation and He wants it to make a God-honouring impact in its community.

So the first question a church board chair must ask is this — do you know what the strategic priorities of your board are? Has the board defined these in general or specific terms so that after twelve months of work the board can evaluate its progress? If it has, are these priorities in fact “strategic,” i.e. the priorities that if advanced will help the congregation achieve its mission? If your answer to one or both questions is “no,”  then the effectiveness of the board you chair is being compromised by lack of direction. This needs to be addressed by the board so that you as chair know how to guide the board in achieving its priorities. Perhaps at the next board retreat you as chair should challenge the board to establish in its collective understanding what its strategic priorities must be in the next twelve months to advance the church’s mission. If your board already has done this, then make sure it is reviewed and renewed annually.

What does the establishment of strategic priorities contribute to board effectiveness?

1. Requires the board to discern direction.   As already mentioned the board has to set some direction in order to guide its work through the year. If the board sets no goals, then it will probably fail to advance the church’s mission in any substantial way. Business will be done, but board members will feel increasingly that it is busy work. At the end of meetings board members will consider their time and energies were not being used to full advantage. Priorities are tied to vision and values. Perhaps the absence of clear strategic priorities indicates that the board lacks clarity about the congregation’s vision. If this is so, then this must be remedied. The board could initiate action by asking the pastor and ministry staff to recommend a set of strategic priorities that will advance the vision, providing rationale for each priority proposed. The board  can review this set of recommendations and adjust them, add to or revise them as they see fit. If a priority needs several years to achieve, then ensure that what should be accomplished each year is clear. Once the board has adopted a set of strategic priorities, it can then set agendas that will focus upon those priorities.

2. Requires the board to function in a disciplined manner. How does a church board determine what business it should be conducting? Too often the agenda gets set by external forces and the board finds itself in reactionary mode, rather than giving its attention to the things it regards as critical.  No board can escape entirely the need to deal with surprises, but having clear priorities enables the board to discipline its time and keep itself on track with respect to the most important things. Boards in smaller congregations are particularly susceptible to these external pressures. There is a spiritual aspect to this discipline as well and that is the prayer agenda of the board members. Once the strategic priorities are identified by the board, these things can become the prayer list for the board. Answered prayers then become achievements of the strategic priorities.

3. It builds accountability. How does a board hold itself accountable for exercising  responsible leadership within the congregation? At the end of the day it is the board itself that must define its agenda and hold itself accountable for achieving that agenda. The more clearly the board can articulate its strategic priorities, the better it is able to sustain and demonstrate good accountability. Both the chair person and the individual board members can track the board’s progress and raise questions when the board seems to be diverting from its agreed priorities.

4. It repays the trust given by the congregation. A board that defines clear strategic priorities and keeps focusing upon their achievement normally will garner the respect and sustained trust of the congregation. As the board reports to the congregation through the year, it both articulates the priorities and notes progress being made towards their achievement. When the congregation is encouraged to connect achievement of these priorities with achievement of the congregation’s mission, then people are encouraged by the board’s determination to advance the Kingdom of God in that place.

5. It enables the board to manage risk. When a board understands what its primary work entails, then it can focus its attention upon managing risks related to those priorities. To spend a great deal of time and effort managing risk for a project that is not a strategic priority produces frustration and sometimes needless cost if something goes awry. If the board is going to embrace a risk, better that it arise from something that the board considers absolutely critical to the advancement of the congregation’s mission. If the board should decide to approve something that is not a strategic priority and the project misfires with attendant problems, then the congregation is going to wonder at the wisdom of the board in even venturing such a  project when it was not within the orbit of its stated strategic priorities.

6. It enables the board to celebrate gains. One of the great privileges that a church board experiences is leading the congregation in praising God for significant advancement of the mission. Whether it is people saved and baptized, missionaries supported, facilities for ministry constructed and well-financed, or the development and hiring of additional ministry leaders, because the board has sustained focus upon strategic priorities the congregation can celebrate and give glory to God.

The church board chair’s responsibilities touch on each of the 6 areas. As the board engages in defining and attending to its strategic priorities, the board chair’s role also becomes more manageable and satisfying.