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The main objective of the assessment process is to encourage self-discovery, professional development, and performance improvement. Personal and professional growth is challenging for all of us. After completing the assessment process and preparing an action plan for the chief executive’s development, the board must actively support the chief executive over the next year as he or she works to implement the action plan.

BoardSource has compiled a list of questions and answers that will help you to approach chief executive assessment with a clear understanding of the process, as well as assist you in leading the board and the executive through a thoughtful discussion about the chief executive’s past performance and future aspirations.

• Why conduct an assessment?
• Why is the assessment of the chief executive important?
• Why use the BoardSource tool to assess the chief executive?
• What is the difference between the online and print edition of the BoardSource tool? 
• What is the difference between assessing the chief executive and assessing the organization?
• Should the assessment results be tied to compensation?
• How often should the assessment process be undertaken?
• What is the right timeline for the assessment process?
• Who should lead the assessment process?
• How long does the process take and what are the key steps?
• Should staff participate in the assessment process?
• Should external informants (peers, others) take part?
• Should the chief executive complete a self-assessment?
• What is the difference between this and a 360 assessment?
• Overview of the online assessment process

Why conduct an assessment?

The assessment of the chief executive is an opportunity for the board to express support for the executive and strengthen his or her performance. This is the time for the board to provide honest feedback on the performance of the organization’s chief staff officer and to address the critical questions effective leaders want to know: “What am I doing well?” and “What can I do better?” The assessment process provides one of the few opportunities the executive has to obtain insight into his or her strengths, limitations, and overall performance.

Why is the assessment of the chief executive important?

While the chief executive is typically surrounded by people — board members, staff members, funders, and stakeholders — leaders of organizations are often isolated from information about their own performance. The board assessment of the chief executive is one of the most important — and sometimes the only — vehicles for the executive to obtain input into his or her performance. It is a critical process for the executive’s and the organization’s success, and an essential function of the nonprofit board.

Why use the BoardSource tool to assess the chief executive?

Created exclusively by BoardSource, this questionnaire is based on the principles of best practices and standards for nonprofit chief executives. Using the BoardSource tool eliminates the need for the board to come up with an appropriate assessment tool of its own and provides a consistent point of comparison from year-to-year. In addition, this assessment is a confidential process, enabling board members to share information and opinions more openly.

What is the difference between the online and print edition of the BoardSource tool?

BoardSource offers two versions of its assessment tool, an online version and a print version. If you order the print version, we will send you a facilitator's packet that includes a User's Guide and Questionnaires. It is the responsibility of your organization to distribute the questionnaires and tabulate the results.

Added benefits of the online version include:

• Improved efficiency and confidentiality through the use of secure online processes.
• More candid answers because the survey is administered by BoardSource.
• More convenient process because the assessment can be completed either online or, for those who prefer it, on paper.
• Real-time reporting that allows the facilitator to preview results and monitor participation.
• Usually higher participation rates because of the user-friendly process.
• Immediate, confidential results. The summary report is available immediately after all of the surveys are completed. Results are reported as an average score.

If you are not sure what version of the tool would best meet your needs, please contact a BoardSource eProducts Associate at eproducts@boardsource.org or 800.883.6262 x 7975.

What is the difference between assessing the chief executive and assessing the organization?

Often, measuring the performance on the organization’s goals (as identified in the mission, strategic plan or annual plan) is used as a de facto assessment of the chief executive. If the organization meets its goals, the chief executive is seen as having met his or her annual goals as well. While the overall performance of the organization is a critical aspect of the chief executive’s leadership role and should be considered in the assessment process, there are other skills and talents that go into the leadership and management of the organization that should be taken into account as well. These leadership and management functions are a primary focus in the BoardSource Assessment of the Chief Executive tool.

Should the assessment results be tied to compensation?

The outcomes of the assessment are one critical point in the discussion of the chief executive’s performance and in decisions about adjustments to the chief executive’s compensation. However, there is no “magic formula” that correlates specific ratings on the assessment to specific changes to compensation. Compensation decisions are complex and need to take into account the organization’s policies and approach to compensation, the terms of the chief executive’s contract, market-based benchmarking data, and specific performance metrics or bonus criteria, in addition to the outcomes of the assessment process. Conducting an assessment of the chief executive is an important way to demonstrate that compensation decisions are addressed in a more formal process and should be one of the steps taken in making compensation decisions for the chief executive.

How often should the assessment process be undertaken?

The chief executive needs regular feedback from the board on his or her performance, therefore we believe that the assessment process should be completed annually.

What is the right timeline for the assessment process?

The timing of the process should be linked to the organization’s annual calendar and planning cycle. For this reason, most organizations conduct the assessment at the end of the year (calendar or fiscal). By conducting the assessment at the end of the year, the board is able to assess the entire year’s performance and begin a discussion of annual performance goals for the year ahead. Regardless of the timing of the assessment process, it should be completed before any discussions of compensation are held.

Who should lead the assessment process?

Typically, the assessment process is led by the one of the board officers (the chair, the immediate past chair, or the chair of the governance or similar committee). Someone at your organization will also serve as the facilitator to assist a BoardSource staff person in setting up your online assessment. The facilitator will provide the beginning and end dates, enter board member names and e-mail addresses, preview the survey and customize any questions you decide to change. If performance goals have been established for your chief executive, these can be inserted into Section One. The facilitator is able to monitor who has participated in the assessment but cannot view individual answers. Once the assessment has been completed, the facilitator can then generate a summary report.

How long does the process take and what are the key steps?

Completing the assessment process typically takes 6 to 8 weeks from launch to the board’s discussion of the results. The process for the online and print versions vary.

Online Version
The first phase of the process is setting up the online assessment, previewing the survey instrument, and customizing the survey along with the e-mail messages sent to all participants.

Next, board members and the chief executive are asked to complete the survey online. It typically takes two to three weeks (including time to follow up with non-respondents) to receive all of the completed surveys.

As soon as the deadline is passed the facilitator can generate the summary report via a web-link. The report can be printed from any computer with Internet access.

The board then meets in executive session to discuss the results and agree on key messages to be delivered to the chief executive about the assessment results. A representative of the board (typically the board chair) meets with the chief executive to review the results, share the outcomes of the board discussion, and begin the process of setting performance goals for the upcoming year.

Print Version

Week 1 – Prepare board members for their participation in the assessment process.
Week 2 – Distribute questionnaires to board members and chief executive, with a request that they return them within two weeks.
Week 3 – follow up with phone calls or e-mails to board members reminding them to return questionnaires (as needed).
Week 4 – This is the final deadline for returning completed questionnaires.
Week 6 – Complete tabulation and analysis of questionnaires and compile the survey report.
Week 7 – Hold executive session to discuss the key findings of the survey and agree on key messages to be brought to the chief executive.
Week 8 – Hold meeting with the chief executive to discuss results and develop plans for the future.

Should staff participate in the assessment process?

Assessing the chief executive is a board governance responsibility, therefore, the primary group of respondents should be limited to board members. In some cases, depending on the size, complexity and culture of the organization, it may be appropriate to obtain input from the senior staff who have a closer working relationship with the chief executive and may be able to provide important insight into his or her performance. If staff are included, it is important to analyze the board and staff responses separately so that the unique perspectives of these groups can be distinguished.

Should external informants (peers, others) take part?

External informants should not be included in the assessment performance. Should the board want information on how the organization or chief executive is viewed externally, the organization should conduct an external review or organizational audit. The assessment of the chief executive is not the appropriate place for external stakeholders to provide input.

Should the chief executive complete a self-assessment?

We recommend that along with the board, the chief executive also complete the assessment. The summary report presents the chief executive’s responses separately from the board’s responses, enabling the board to compare and contrast their perceptions from those of the chief executive. In addition, many chief executives also prepare a self-assessment narrative highlighting key aspects of their performance over the past year.

What is the difference between this and a 360 assessment?

The assessment of the chief executive is a board-run undertaking designed to carry out its governance role of ensuring that the chief executive is effectively fulfilling his or her responsibilities. Typically, only board members and the chief executive participate in this process. While the results of the assessment have clear implications for the chief executive’s professional development, it is primarily a vehicle for performance review. A 360 assessment is a tool for leadership and professional development and typically involves the person’s supervisor, peers, and direct reports. The 360 assessment process is typically undertaken and “owned” by the individual being assessed. The individual is free to accept, reject, or ignore the feedback received.

Overview of the online assessment process:

1. Someone at your organization will serve as the facilitator and assist BoardSource with conducting the assessment. The facilitator will establish the beginning and end dates, provide BoardSource with a list of board member names and e-mail addresses, preview the survey, and determine if questions in the survey need to be customized. If performance goals have been established for your chief executive, these can be inserted into Section One.
2. Board members and the chief executive will receive an e-mail with a link to log into the online survey.
3. Everyone will be asked to complete the assessment by the deadline established by the facilitator. The assessment should take approximately 30-60 minutes to complete.
4. Reminder e-mails will be sent to those who have not completed the survey prior to the deadline.
5. The facilitator will be able to monitor who has completed or partially completed the assessment throughout the survey period and can make phone calls or send additional e-mails to encourage higher participation.
6. Those who have completed the assessment will receive an e-mail confirming that their answers have been received by BoardSource.
7. Through the online tool, BoardSource will provide a report that details the executive’s answers along with an average of the board member’s responses. No individuals (other than the chief executive) will be identified in the summary report. After the deadline, the facilitator will be able to generate the summary report and distribute this to the full board or a committee of the board.

BoardSource offers both an online and print Assessment of the Chief Executive. For more information, contact BoardSource at 1-877-892-6273 or 202-452-6262.