The Board Rules: Founding an MFI Board
Forming a Board to manage a microfinance institution (MFI) is a huge undertaking, but does not need to be daunting.
This book invites readers to apply old wisdom to new challenges whilst focusing on the way a new microfinance institution (MFI) establishes its first, or founding, Board of Directors. The book states that the key factor in establishing a successful MFI Board is focus: "Board members of an MFI need to focus on matters of greatest concern to the institution, including its survival and the fulfillment of a social mission".
Concisely written, The Board Rules is a practical "how-to" manual which guides the reader through the core stages of developing a good Board, and outlines key points to consider including:
- Defining a clear strategy;
- Determining roles, responsibilities and board composition;
- Paying close attention to issues of motivation, recruitment and governance;
- Focusing on planning, meetings and financial matters.
The book concludes that the way the Board conducts itself at its earliest stages can affect the MFI in fundamental ways. The author states that the energy, commitment and clarity offered by a good Board trickles down to staff levels, influencing the image of the MFI in the wider community and even impacting clients who will appreciate a professionally run institution, clearly the result of a competent Board.
