http://www.boardroompro.net/5-organizational-assessment-tools-for-nonprofits/

Few governance issues are as challenging as assessing the performance of boards. The symbiotic relationship between firm, management and board outcomes makes evaluating board performance more art than scienceand is rarely a clear cut. For instance it is possible that a board is in charge of the company effectively, however shareholders are unhappy about the poor return on investment. The board may have been inherited by firm, management and governance problems and be working hard to fix the problems. It might have also invested in new strategic initiatives or formulated an exit strategy.

In other cases, a board may become too involved in the operations and take decisions that should be left to management. These situations are made even more challenging when the board does not utilize a proper method of evaluating its members. In the absence of a formalized process for evaluation in place, it’s easy for mild problems to become serious that can affect the effectiveness of the board.

The board could have developed an environment that does not take performance assessment seriously. It could be because the board isn’t equipped with the tools to gather data on performance or the skills needed in a boardroom for executing its duties of evaluation.

Boards should not only have the required capabilities, but should also be open to the results of the evaluation. The board must identify areas of improvement and collaborate with management to create an action plan. This could include regular board trainings to improve the knowledge of the board.