Governance Self-Assessment

This assessment tool is the work of CMA (cma.net.au) adapted for PFI audience

 
 

Principle 1: God First

The organization must declare its Christian ethos and confirm that it acts in accordance with that ethos.

 

For example, stated in its constitution, vision/mission statements or website

 
 
 

Principle 2: Charitable Status

The organization must be a registered, legitimate and active charity.

 
 
 
 

For example, information on responsible people, contact details, constitution, and required reports

 

Principal 3: Diligent Governance

The organization must be governed by a properly structured body which acts with care, diligence and independence.

 
 
 
 
 
 
 
 
 
 
 

Principal 4: Responsible Leadership

Leadership is critical and sets the culture of the entire organization. The members of the organization’s governing body must be responsible, competent, and comply with their legal obligations.

 
 
 
 
 
 
 

Principal 5: Charitable Purpose

The governing body must ensure that the organization carries out the purpose for which it exists.

 
 
 
 
 
 
 

Principal 6: Financial Oversight

 
 
 
 
 
 
 
 
 
 
 
 

Principal 7: Risk Management

The organization must take steps to identify and monitor risks to which it is exposed.

 

A risk management plan must identify the significant risks to which the organization is exposed, classifies them according to severity and likelihood, and documents appropriate management strategies and insurance programs.

 
 
 

Principal 8: Transparency and Accountability

The organization must be transparent and accountable to its stakeholders.

 

There must be a reasonable opportunity at the meeting for members to ask questions or seek clarity about matters of legitimate interest.

 

The report must contain sufficient detail to enable readers to gain a reasonable overview of activities, performance and achievements of the organization.

 
 
 
 
 
 

See for example the PFI Standards for Excellence in Remuneration-Setting.

 
 

Principal 9: Honest Communication

All gifts appeals and stewardship activities of the organization must be carried out in truthful and ethical manner.

 

References to past activities or events must be appropriately dated. There must be no material omissions or exaggerations of fact, use of misleading or disrespectful photographs, or any other communication which would tend to create a false impression or misunderstanding or unrealistic expectations of what a gift will actually accomplish.

 

If a donor gives any special instructions with the gift, and your organization accepts the gift, it must honor the instructions.

 
 

An organization must not knowingly accept a gift if it appears to your organization that it is a major financial commitment by the donor and the donor has not considered his or her financial capacity to make the gift.