Building More Effective Boards

Directors are often caught in a paradox: full accountability for performance and shareholder value, yet no direct control. LESRISK has advised Boards on the appropriateness of risk management practices and coached Directors to effectively use decision-making and control tools to improve oversight, and both build and protect value.

LESRISK builds value by empowering Directors with knowledge of their role and the tools to exercise oversight. As the diagram illustrates, we facilitate the alignment of Directors' risk tolerance with their approval of strategy, policies, budget and organization, and we enhance their capability to monitor management decision outcomes and outputs. In addition to identifying "red flag risks", we coach management and boards to unleash the benefits of board expertise.

Recent LESRISK Corporate Governance Mandates

Assisted board of directors of a financial institution in defining their risk tolerance in terms consistent with performance targets, capital budget and management's implementation of value-at-risk principles.

Advised the Ontario Financial Review Commission on public sector accountability.

Performed a global survey of fiscal budgetting practices and recent fiscal reforms for a government budgetting office.

Developed and delivered training programs for Boards of Directors to reduce potential liabilities and improve board effectiveness.

Performed value-for-money and risk audits for Boards, regulators and shareholders.

Facilitated strategic planning and risk assessment for not-for-profit boards and corporate management.