Meghan Day

Principal Solution Designer

8 sample board evaluation questionnaire questions and a must-read guide for implementation

If continuous development is a priority, it's essential to ensure that your board of directors operates effectively. Even the best board directors can improve. To assess the accountability and effectiveness of your board members, leverage this guide and sample board evaluation questionnaire.

The article will cover:

• How to conduct a board evaluation questionnaire and choose the best method
• Sample board evaluation questionnaire questions
• Local considerations for global markets
• Common challenges during evaluation season
• A use case for practical application
• How templates and technology can help

How to conduct a board evaluation questionnaire

Conducting an effective board evaluation questionnaire requires strategic planning and execution to deliver value for your organization. Here are the steps you can take to carry out an effective board evaluation questionnaire (we’ll get to the samples shortly).

1. Plan your goals

Determine the goals and objectives of your board evaluation, so you are clear on the questionnaire’s purpose. Perhaps you’re looking to assess board performance, ensure compliance for increased organizational success or are focusing on the contribution of individual board members. It will likely be a combination of reasons. Make sure you define specific goals, such as any key strengths or weaknesses you’re looking to address or any processes that need refining. By pinpointing your objectives, you are better positioned to ensure:

• The evaluation is both detailed and thorough
• You select the right sample board evaluation questionnaire questions
• Align with your organization’s governance standards

2. Set out your questions

Next, you can begin to formulate the questions you’re going to ask in your questionnaire. To encourage detailed responses that cover the key areas of your board operations, you’ll want to include a mixture of both quantitative and qualitative questions. This approach can help you understand the board’s strengths and areas for improvement, to drive continuous improvement and governance excellence.

Sample quantitative questions

1. On a scale of 1-5, how effective do you find the organization’s leadership to be?
2. How often do you feel you are fully briefed on the agenda of meetings? A) Always B) Most of the time C) Sometimes D) Rarely E) Never

Sample qualitative questions

1. Describe how diverse you believe our board to be.

In your opinion, what specific skills, experiences, or backgrounds are missing from our board that could potentially enhance our governance and decision-making capabilities?

3. Choose a method of running the questionnaire

You’ll need to decide on a method to distribute the board evaluation questionnaire that most suits the preferences of your respondents and your objectives.

You may choose to conduct an online survey. This format offers several advantages, including efficiency, the convenience of being able to participate from any location, and confidentiality, which can encourage more honest feedback. It’s worth checking the security measures in place for online tools to avoid lost or leaked responses.

Another option is a paper-based questionnaire, which can feel more personal and accessible for those less comfortable with digital tools. However, when it comes to analyzing the questionnaire results, you will need to manually enter them into a digital format and secure the confidential data safely. This can increase the risk of errors and make the process more time-consuming.

Disadvantages of paper-based evaluations:

1. Time-consuming process: The need for physical distribution, completion, and collection of forms makes paper-based evaluations slow and cumbersome. This traditional method requires extensive manual effort, which can delay the entire evaluation process.
2. Data security concerns: Paper-based systems pose a high risk of sensitive information being lost or exposed. The physical nature of paper makes it vulnerable to misplacement or unauthorized access, compromising the confidentiality and integrity of the data. Put in the wrong hands, this could result in significant reputational damage, manipulation or even blackmail.
3. Inefficiency in data collection: Collecting and analyzing data from paper questionnaires is not only time-intensive but also prone to errors. The manual entry of data increases the likelihood of mistakes and reduces the reliability of the evaluation results.
4. Limited accessibility and convenience: Paper-based evaluations can be particularly challenging for board members who are frequently traveling or based in different locations. The inability to access and complete evaluations conveniently can hinder timely submissions and affect the overall responsiveness of the board.
5. Challenges in analysis and reporting: Analyzing results from paper-based evaluations is a labor-intensive process that can delay decision-making and the implementation of necessary changes. The lack of real-time data and efficient analytical tools can impede the ability to derive actionable insights from the evaluation data.

Alternatively, you could select a board management portal with questionnaire capabilities built into the tool.

Advantages of board management questionnaire software:

1. Streamlined questionnaire creation: Utilize a platform that simplifies the creation of questionnaires with access to expert-designed templates and the ability to pre-fill responses from previous years. This feature not only saves time but also ensures consistency and accuracy in the data collection process.
2. Secure and efficient data collection: Some solutions support the entire questionnaire administration process within a single, secure platform. This includes safeguarding sensitive data and providing a familiar environment for users, which can enhance the response rate and quality of information collected.
3. Real-time analysis and export capabilities: A robust digital tool can manage data collection with clear insights into completion rates and provide options to export data for thorough analysis. This allows for immediate action based on the collected data, facilitating more dynamic and responsive governance.
4. Global accessibility: With the right digital solution, board members can access necessary documents and respond to questionnaires from anywhere in the world, making it ideal for organizations with geographically dispersed leadership.
5. Compliance and continuous improvement: Mature solutions have regularly updated features and templates to comply with the latest regulations and best practices, ensuring that the organization remains compliant with legal standards and governance best practices.
6. Global standards: A tool that is used by a large number of board members globally, such as Diligent, which supports over 700,000 board members and leaders in 130 countries, is likely to be robust and versatile enough to handle a variety of governance needs across different jurisdictions and industries, giving you peace of mind.
7. Support and expertise: Opt for a service that offers around-the-clock customer support and is backed by governance experts. This ensures that any issues can be resolved quickly and that the platform continues to evolve in ways that meet the specific needs of its users.

Make sure you choose a method that suits the majority of your organization, to ensure a smooth and efficient evaluation process for you to gain the most insights from your questionnaire.

4. Analyze the results and take action

Once you’ve conducted your board evaluation questionnaire, it’s crucial that you analyze the results and take appropriate action to improve board performance and governance.

First, you’ll need to compile your results and begin to analyze your data. You can use statistical tools to calculate averages and medians for you to identify trends in your data. You can then group the responses to your qualitative questions by themes and suggestions; for example, you may find that numerous respondents have shared communication as a concern. Once you’ve gathered your key findings, you can begin to report on them. Provide a concise overview of your results, including the major strengths that have been identified and areas for improvement. You can use data to support your claims, along with quotes from respondents, to give context where needed.

By compiling and analyzing the results, you can develop an action plan for the next steps to address concerns or weaknesses. Doing so can allow you to address current challenges and encourage an honest, responsive board that prioritizes development.

Sample board evaluation questionnaire categories

Board evaluation questionnaires typically explore various key areas to evaluate the board's effectiveness. Here are some common categories of questions you might see:

• Board composition and leadership: Questions in this category can assess whether the board's size and composition are appropriate, considering the mix of expertise, skills, diversity, experiences, and backgrounds needed to effectively oversee the organization.
• Board committees: This category can evaluate the effectiveness of various committees within the board, such as audit, compensation, and nominating committees, ensuring they meet their responsibilities and contribute to the overall governance of the organization.
• Board meetings: Questions can focus on the frequency, efficiency, and productivity of board meetings, including the adequacy of meeting materials and the effectiveness of meeting discussions.
• Overall effectiveness of the board: This broad category can cover various aspects of board performance, including strategic oversight and the board's role in risk management.
• Self-assessment: Individual board members may assess their own contributions and effectiveness, providing insights into areas for personal development and greater contribution to board activities.

9 sample board evaluation questionnaire questions

The questions below aren’t intended to be an exhaustive list but can offer inspiration for the types of questions you could ask in your board performance evaluation questionnaire.

1. Do you receive clear and concise background information prior to board meetings? A) Every time B) Most of the time C) Sometimes D) Rarely E) Never
2. Does the board have a mix of experiences and skills? What experiences or skills do you feel are missing?
3. Do you believe the board takes responsibility for its actions?
4. Does the board know and understand the company’s values?
5. To what extent does the board communicate clearly and openly to ensure understanding? A) All the time B) Often C) Sometimes D) Rarely E) Never
6. Skill gaps are identified and managed through training or appropriate resources. A) Strongly agree B) Agree C) Disagree D) Strongly disagree
7. What do you consider the board’s greatest strength(s)?
8. The board takes collective responsibility for the performance of the organization. A) Strongly agree B) Agree C) Disagree D) Strongly disagree

For a deeper and more efficient process, utilize a platform that incorporates templates designed by governance specialists. For example, employing templates developed with insights from Latham & Watkins and The Diligent Institute can streamline the collection of necessary disclosure information.

Local considerations for global markets

When conducting your board evaluation questionnaire, it’s important to consider any specific regulations that apply to the country in which your organization operates.

In the US, there are various regulatory considerations to keep in mind, such as the Sarbanes-Oxley (SOX) Act 2002, which helps protect investors from corporations’ fraudulent financial reporting. You’ll also need to adhere to the Securities and Exchange Commission (SEC) Regulations and any state-specific regulations. Should you operate in California, for example, you’ll need to ensure the board complies with local cybersecurity laws such as the California Consumer Privacy Act.

Whereas, those operating in the UK may need to consider the implications of Brexit on their board of directors, considering any changes to trade and immigration laws and ensuring the board is adapting to changing market conditions post-Brexit. UK organizations may also include diversity considerations in their board evaluation questionnaires and implement the Parker Review recommendations to improve ethnic diversity across their board.

Incorporating country-specific considerations into your board evaluations can help ensure the board is aligned with not only local regulations but also economic and social conditions. Being aware of these factors can improve your governance practice and the board’s ability to respond effectively to local challenges.

Challenges of board evaluation questionnaire season

Board evaluation questionnaire season presents several challenges that can hinder the efficiency and effectiveness of governance processes. These challenges primarily stem from the complexities of creating, distributing, and analyzing questionnaires.

1. Complex questionnaire creation: Crafting the right questionnaire that meets compliance needs and gathers meaningful data is time-consuming. Access to expert-designed templates and regulatory updates is essential to streamline this process.
2. Data collection and security: Collecting responses securely and efficiently remains a significant challenge. Ensuring that all data is gathered in a compliant and secure manner requires robust systems that can handle sensitive information.
3. Analysis for insightful feedback: Once data is collected, the next hurdle is analyzing it to extract actionable insights. This analysis must be both thorough and efficient to inform effective board governance and decision-making.
4. Compliance and updating: Regular updates to ensure compliance with current laws and regulations are necessary, adding another layer of complexity to the questionnaire process.

There are best practices and board evaluation software to address these challenges. For example, you can leverage a secure platform like Diligent to simplify questionnaire creation, support efficient data collection, and facilitate insightful analysis with built-in analytics. This integrated approach ensures that board evaluation questionnaire season is managed effectively, helping organizations maintain compliance and governance excellence.

Use case: Sandra D., executive secretary in the banking industry

Sandra D., an executive secretary at a mid-sized bank, has been using Diligent Boards to streamline the preparation and execution of board and committee meetings. With a company size of 201-500 employees, the need for efficient and secure communication is paramount.

Implementation: Sandra has leveraged Diligent Boards for various functionalities, but one of the standout features has been its ability to handle questionnaires and voting for board items. This feature has been particularly useful in preparing for board meetings, where time efficiency and security are crucial.

Benefits:

• Time efficiency: The software reduces the time spent on preparing meeting materials and distributing them among board members. Sandra noted, "It saves me time in preparing for board meeting and committee meetings. Less printing of documents, so it saves time."
• Security and accessibility: With secure, password-protected access, board members can view or access the material anywhere in the world on any device. This has been essential for maintaining the confidentiality of sensitive information. “We never have to worry about confidential information being in the wrong hands,” Sandra explains.
• Enhanced participation: The ability to conduct questionnaires and voting digitally has improved participation and engagement from board members, who can now easily provide their input on key decisions without being physically present.

Supporting board evaluations with Diligent software

Streamline your board evaluation process with Diligent. Diligent Boards, part of the Diligent One Platform, improves collaboration between board members and leaders and makes the board evaluation process feel more straightforward.

There are alternatives to creating your questionnaire from scratch or solely relying on sample board evaluation questionnaire questions. You can use our pre-built templates, including best practice templates from global law firm Latham & Watkins. Once your templates are created, you can continue to iterate them year after year rather than needing to go back to the drawing board each time.

Why not see for yourself? Request a demo today to get started. Join the 700,000+ board members and leaders across 130 countries who also partnered with Diligent to transform their businesses.