Governance

What is governance?

At LEAD, we specialize in managing and mapping governance, which is a term for the system of rules, processes and guidelines that an organization uses to control and build its way of operating. This system helps define and determine what an organization looks like and how it acts. Governance also includes areas such as compliance, risk management and administration.

In short, governance is about mapping the governing processes within an overall organization or a specific business area/department. This can include, for example, mapping workflows, mapping decision-making processes and clarifying decision-making rights.

Questions to record governance can be: How do we work? Who decides what? How do decisions move through the organization? And what impact does that movement have on the decision-making power of employees and managers?



Benefits of good governance

The key to governance is to ensure structure and processes for control and decision-making - as well as the accountability and behavior derived from it. Good governance therefore refers to clear roles, responsibilities and processes within the organization. In other words, governance is the assignment of decision-making rights and the practical distribution of mandates. So who can and should decide what in what situations?

Some of the benefits of dealing with governance are:

  • It supports that organization and management functions in a responsible and coordinated way that is documented and contributes to solving the organization's core tasks
  • It contributes to organizational compliance, trust, stability and reduces risks.
  • It creates efficient workflows and supports that tasks are clearly placed in the organization.

All of these benefits are essential in running and managing an organization or business in an ever-changing world.

A concrete example of how to work with governance can be the finance department of an administration that is about to be reorganized. Here, it is appropriate to examine governance to ensure that the finance department is still acting in the most sensible way - both during and after the reorganization. In this case, it becomes a matter of testing role and function descriptions and mapping out decision-making processes so that there are clear lines of who does and decides what.

However, it is important to emphasize that governance is not a one-off undertaking that results in a perpetuated outcome. Rather, it should be seen as an ever-changing entity. It is an ongoing process and describes a number of elements - such as rules, practices, processes and guidelines - that change over time.




LEAD's approach to governance

The framework for analyzing and managing governance is based on the fact that the safe operation of finances and core business must be based on a holistic approach, where there is a strong and clear interaction between:

  • Management goals
  • Controlling and follow-up
  • Professionalism in relation to the core task
  • Management work in everyday life
  • Organizational culture
  • The approach to errors and failures.

At LEAD, we have repeatedly found that organizational governance setups that focus solely on decision-making processes and workflows end up being less effective and behavioral. Therefore, we recommend that governance should not be thought of in isolation, but holistically and closely integrated into the organization's core business, leadership and culture.

Inspiration

We teach you about governance

We offer you management and organizational sparring, research-based training and presentations on governance, as well as training courses with a specific focus on giving you and your organization general management skills. Read examples of our services here.

Presentations

Inspiring research-based presentations on governance for all levels of your organization.

Sparring

Sparring in the development of governance in relation to your challenges and initiatives.

Workshop

Facilitation of active workshops focusing on competence development at management and employee level.

If you have any questions, I'll call you with personal guidance

Are you facing an organizational change? Do you need strategic advice or an in-depth analysis?

Contact us and together we will tailor a process that develops the exact competencies and structures that strengthen and future-proof your organization.

Rasmus Engelbrecht

Partner

Phone: +45 25 55 09 54

E-mail: rel@lead.eu

The consulting team working with governance

Ronja Ries Højbjerg

Senior Consultant

Johan Horsten

Management consultant

THE ATTRACTIVE WORKPLACE 2024

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