Julie Garland McLellan’s Post

Governance speakers are boring, right? It's a boring topic. Not true!!!! There are boring speakers and interesting speakers on every topic. When did you last book an expert speaker to talk with your board and help them to improve their governance? Isn't it time you booked one who is guaranteed to excite? So thrilled to be given the golden microphone 🎤 at last night's Professional Speakers Australia - PSA meeting. Thanks Pete Miller for a great evening.

I get annoyed when I hear people say that directors of charities (or not for profit companies) are somehow exempt from any legal duties or consequences. They aren't. I'm annoyed far too often. Directors place themselves at risk when they don't know the legal requirements of their position. Governance standard 5 (an ACNC governance standard) requires that directors of companies that are registered charities understand and comply with certain duties. This standard is based on and replaces some of the sections that applied to directors of registered charities under the Corporations Act. Only the following provisions of the Corporations Act have been 'turned off' for companies registered with the ACNC: - sections 180 to 183 (civil obligations of directors and other officers to exercise due care and diligence, act in good faith and not to improperly use their position or company information) - section 188, to the extent it relates to other provisions that have been 'turned off' (responsibilities of secretaries and directors for certain contraventions), and - sections 191 to 194 (obligation of director to disclose material personal interest). Registered charities are required to take reasonable steps to ensure that any responsible persons comply with governance standard 5. Governance standards are mandatory and legally enforceable. Criminal offences for the breach of certain directors' duties continue to apply under the Corporations Act to directors of charities registered with the ACNC. For example, section 184 of the Corporations Act still applies to the directors and other officers of companies that are charities registered with the ACNC and directors continue to have a duty to prevent insolvent trading under section 588G. You need to be a good, well intentioned, and reasonably diligent person to serve as a director. Even, or especially, on not for profit or charity boards. If your board needs training, let me know. #boards #directors #risk

The director world is full of people who have never been on boards, and a few who have never even been involved in a board recruitment process, and yet who feel they can give directors advice on how to better develop their careers. Here are some observations from my career on boards and the actions that I have seen work in real life for other successful directors. Let me know if you have any questions that aren't answered here. #boards #directors #governance

"The only thing more dangerous than the absence of progress is the illusion of it." Christine Holman Enjoying the Australian Institute of Company Directors Essential Director Update. Nice to see the focus on emerging issues and good practices for managing them. And always a pleasure to catch up with friends - existing and new. #Edu24 #boards #directors #governance

Do you want to improve the quality of your board's reports? Here's a link to my podcast with Helga Svendsen @HelgaSvendsen. In today’s episode, we discuss what makes a great board report, and how to get them! Listen here: https://pod.fo/e/26f472 Obviously, I couldn't cover the content of a whole-day training course in just one podcast. I hope we covered enough to give you some practical ideas that will help dramatically improve your board reporting. #TakeOnBoard #TakeOnBoardPodcast Helga Svendsen

When you write a paper for your board, you naturally want to sound as though you have everything under control. You don't want to raise their concerns. You want to allay them. Wrong! Don't fall into the habit of presenting information that is positively skewed. Think hard about the balance between good and bad news; or between informing and engaging your board. Get directors' input to your challenges. They may be able to help far more than you expect. For ideas, you might like to download my CEO Report Template and Guide: https://lnkd.in/g6jvX9q5

Sometimes people claim that directors are never held to account and that ASIC rarely succeeds in prosecuting them. In the past three years, ASIC has prosecuted a number of company directors for various offenses, primarily related to breaches of their statutory obligations and insolvent trading. The prosecutions rarely receive prominent press coverage unless they involve a large listed company. Some cases you may not have seen in the news: 1 - Andrew Eric Young - The founder and former director of the Kleenmaid group, Young was sentenced to nine years in prison for fraud and three years for criminal insolvent trading. He was found guilty of defrauding Westpac and committing multiple counts of insolvent trading while acting as a shadow director. 2 - Bradley Wendell Young and Gary Collyer Armstrong - Also connected to the Kleenmaid case, they faced similar charges. 3 - James Kelsey - He was sentenced to six years and eight months for falsifying company records and dishonestly using his position as a director to benefit himself financially. 4 - Paul Kim - A former director of a collapsed property development company, he was found guilty of insolvent trading and was sentenced to three years in prison. For more details, you can Google ASIC's media releases or updates related to specific prosecutions. If it happened to them, could it happen to you? Perhaps. To avoid being mentioned in ASIC's press releases and legal actions, get proper up to date director education. A short course before you do the wrong thing is way cheaper than a legal defense afterwards. #boards #directors #governance #education

All Above Board: Great Governance for the Government Sector (second edition) by Julie Garland McLellan, is a comprehensive guide focused on corporate governance specifically within government-owned organizations. It covers various aspects of governance and how directors can effectively manage these organizations while balancing public policy, financial objectives, and social responsibilities. Key Themes in the book: - Corporate Governance Definition: Governance in the government sector refers to how organizations are directed and managed, including setting objectives, monitoring risks, and optimizing performance. There's an emphasis on balancing commercial goals with broader public policy objectives. - Differences Between Private and Government Boards: Government-owned entities often have a single shareholder (the government) and their goals go beyond financial returns, focusing on social and policy outcomes. Boards in this sector must navigate political and public interests, requiring a balance between profit motives and community responsibilities. - Director's Roles and Responsibilities: The book emphasizes the importance of understanding legal frameworks and regulations specific to the public sector, along with fiduciary duties. Directors are accountable to their government shareholder and must ensure that their organizations meet public expectations while minimizing risks. - Public Policy and Planning: A significant part of the book explores how government boards align their strategies with public policy goals, manage stakeholder expectations, and handle financial planning in a highly regulated environment. - Risk Management: The risks in the public sector are often higher due to regulatory complexities and public scrutiny. The book provides examples of government-owned organizations that have faced challenges and offers strategies for managing these risks effectively. - Ethics and Transparency: Ethical behavior, transparency, and accountability are critical in maintaining public trust. The book offers guidance on promoting responsible decision-making and fostering a culture of openness on government boards. Case Studies: The book includes practical case studies, such as the management of the New South Wales Grain Board and the challenges of providing services in monopoly situations (e.g., electricity supply), demonstrating how directors can navigate complex governance issues. This guide is tailored for both aspiring and current directors of government-sector boards, helping them to understand the specific challenges of the public sector and offering insights into effective governance practices.

What are the two most important papers in your board pack? I think they are likely to be your minutes from the previous meeting and your CEO report. Here's why. For guidance on how to write an excellent CEO Report and a template that you can use, check out my latest white paper: https://lnkd.in/g6jvX9q5

You're invited to Governance Unplugged, an invite-only live event designed to allow you to ask any questions you may have about governance, boards, and directorship. I have a few free tickets to give away and would be delighted for you to come, connect, share experiences and ask your trickiest governance questions. I will be joined by a fantastic international governance speaker, Matt Fullbrook, so you will get a rare opportunity to compare and contrast Australian and international thinking on boards and governance. When: Thursday 17th October at 5:00pm-8:00pm Where: Work Club Global, Level 32, 200 George St Sydney Here the link: https://lnkd.in/gUhhz7RR This event will bring together governance experts in a relaxed atmosphere. The goal: high-quality connections between like-minded people. It is sponsored by BoardPro I really hope I will get to see you there. Comment below to let me know if you can, or can't, come.