Ever wondered how someone could control a company’s decisions without holding an official title? In this episode, we dive into understanding shadow directors—individuals who, despite lacking a formal designation, wield significant influence over a company’s board. We discuss the subtle yet crucial differences between shadow, de facto, and silent directors, unpack real-world cases, and highlight the significant risks involved. Whether you're a corporate governance professional or just...

Understanding financial concepts is critical for non-profit board members, and in this episode, we break down two essential yet often confused terms: illiquidity and insolvency. These financial states can significantly impact an organisation's ability to fulfil its mission, and knowing the difference is key to proactive management. We cover: The distinction between illiquidity (short-term cash flow challenges) and insolvency (a deeper, long-term financial issue) Real-world...

Have you ever wondered how unregistered or unincorporated non-profits can access funding without the hassle of formal incorporation? In this episode, we unravel the intricacies of auspicing, a unique practice that empowers smaller groups to achieve big dreams by partnering with more established organisations. We’ll explore: What auspicing is and how it works The benefits and potential drawbacks for both parties The financial and legal responsibilities involved Real-world examples...

In this episode, we explore the concept of risk appetite and why it is crucial for organisations of all types. We break down what risk appetite means, how it differs from risk tolerance, and how it shapes strategic decisions. Our discussion covers how different types of organisations—such as startups, not-for-profits, and larger firms—approach their unique risk appetites. We also delve into the role of culture, the importance of a formal Risk Appetite Statement, and practical ways...

In this episode of Herding Cats, we explore the crucial role that well-crafted board papers play in making board meetings truly impactful. Our hosts delve into common complaints from directors—board papers that are too long, lack focus, or provide insufficient context—and provide actionable strategies for addressing these issues. From making board papers concise and structured, to ensuring they include the right metrics and clear recommendations, we discuss how small changes can...

In this episode of Herding Cats, we dive into the world of risk management for not-for-profit organisations. Join us as we break down the concept of a risk matrix, its importance, and how it can be used effectively to identify, assess, and prioritise risks. Our hosts walk through real-world examples, exploring the steps involved in creating a risk matrix, its strengths, and potential pitfalls. We also touch on the importance of understanding risk appetite, the role of organisational...

In this episode, we dive deep into the concept of the consent agenda—a powerful tool for enhancing efficiency in board meetings. We explore how it groups non-controversial and routine items for quick approval, allowing boards to focus on strategic discussions. We also address potential risks and transparency concerns, providing practical insights on implementing and managing a consent agenda effectively. By the end, listeners will understand how this method can save time, improve...