A well-crafted report for the board is an effective tool that improves collaboration, promotes transparency and accountability, and helps to facilitate strategic alignment. Many organizations struggle to produce board reports that are timely and accurate. The negative impact of a poorly presented or insufficient information is detrimental to the process of making decisions and the growth of the company.
Concentrate on sharing only the details that are necessary to move your board forward. This will avoid information overload and the need for lengthy explanations.
Begin with an executive summary, or abstract, which provides an overview of the report’s key points. This lets board members quickly read the report and get to important points. Follow this with your company’s key performance indicators (KPIs). Provide specific information within the context of goals and targets that were set in the last year. Also, highlight the progress made.
Include a section about industry trends and challenges. This is a fantastic opportunity to provide context to the financial information you share and assist your board members understand, for instance the reasons your market shares increased or decreased. Include any major regulatory obstacles in your report so that board members are aware of the potential legal risks.
Then, discuss your next step plan with the board. It doesn’t matter if it is an entirely new plan that requires their approval or a revision of a current project.