Evaluating and addressing the health of your nonprofit’s governance, legal, and risk management functions is essential for stability, credibility, and long-term success. These crucial elements help ensure your organization is in a strong position to fulfill your mission and serve your community well.

The OpX360 Governance, Legal & Risk Management module from The Capin Center for Nonprofit Excellence can help. This free online assessment is a convenient way to evaluate your organization’s governance structure, risk management, legal compliance, policies and procedures, board composition, and leadership roles. It also provides an assessment score you can share with your organization’s leadership, board members, potential funders, and other stakeholders.

Assessment Breakdown

Like all OpX360 assessments, the Governance, Legal & Risk Management module is built on best practices and industry standards to help you evaluate your organization’s strengths, potential challenges, and steps for improvement in this vital operational area. Strong governance guides strategy, legal adherence helps you maintain your tax-exempt status and avoid penalties, and risk management identifies and mitigates potential threats. Together, they safeguard your mission, build trust, and contribute to the efficiency and impact of your organization.

Designed to be taken by your CEO, legal counsel, or person responsible for this area of your operations, the OpX360 Governance, Legal & Risk Management module contains 60 Best Practice statements. These statements are grouped into five Key Elements:

• Appropriate Organization & Governance Structure – A model under which your organization can function more effectively and efficiently by addressing articles and bylaws; board composition, meetings, and committees; and the roles and responsibilities of the board and CEO.
• Integrated Organization-Wide Risk Management Program – A program that addresses known and unknown risks that could interfere with operations and outcomes. An effective risk management program involves identifying, mitigating, or eliminating risks; coordinating risk management across all areas of operations; and providing Disaster Recovery and Business Continuity plans and resources.
• Legal Compliance & Program Integration – A disciplined approach to operations that addresses regulatory requirements, corporate filings, and employment laws, as well as contract formation and performance to avoid litigation. This must be a coordinated effort across all areas of operations and programs.
• Policies & Procedures – A set of formalized rules and practices for handling governance, legal, and risk management matters to protect and empower leaders in achieving outcomes, avoiding waste and confusion, performing effectively and efficiently, and ensuring efficient board processes and record-keeping.
• Right-Sized, Right-Skilled Board & Leadership – Covers areas that are in place and operating based on a strategic selection process and an ongoing support system that ensures your board and C-suite have the right number of qualified people.

By answering assessment questions based on these five Key Elements, you’ll gain a comprehensive overview of your nonprofit’s health along with an understanding of why each element is important and how you can make improvements.  

After you complete the convenient online Governance, Legal & Risk Management module, you’ll receive an Executive Briefing which includes a high-level summary of your nonprofit’s results as well as a Detailed Report with in-depth insights and recommendations based on your responses.

With our free unlimited subscription, you can take the assessment as often as you want to check progress and demonstrate competency to funders and other stakeholders.

If you’d like to gain valuable insights and recommendations to help you optimize your governance, risk management, and legal compliance, take the free assessment.

For a comprehensive look at your organization’s overall operational competence in other vital areas, OpX360 offers five additional modules. You can learn more about each here.

Additional Resources:
Finance & Accounting Assessment: A Key to Strengthening Nonprofit Operations
Governance, Legal & Risk Management Assessment: Understanding Key Elements of Stability and Success