A new resource has been developed to help aged care board directors to manage governance responsibilities ahead of increased market competition and ongoing industry changes that will lead to greater scrutiny of board decisions.
The book, “Adding value to governance in aged care” has been published by The Governance Institute of Australia in anticipation of what it describes as the need for large-scale organisational change across all business areas.
According to the Institute’s website, the organisation “developed guidance for the aged care sector to assist providers manage their governance responsibilities as of the fundamental changes to the regulatory framework are rolled out by the Australian Government in 2017 and beyond.”
“This is the first step in moving the sector to a user-pays system, with funding decisions driven by consumer choice. In turn, this brings increased market competition, escalating costs, and workforce attraction and retention challenges.”
“Large-scale organisational change will be required in terms of workplace arrangements, IT, business processes and capital expenditure in order to deliver services while remaining financially sustainable.”
“Scrutiny of the decisions of boards in this sector will intensify as the community reviews the care of some of the most vulnerable members of society. The board skills required to navigate strategic direction in a time of change will be put to the test.”
The practical guide is designed to support any potential or current member of a board of an aged care provider and covers:
- the unique challenges facing the governing bodies in the aged care sector
- a checklist for potential directors when undertaking due diligence before taking a position on a board
- issues that a board should consider when inviting a new member onto the board, including the skill set needed to navigate the challenges ahead
- the relationship between the board and management
- advice on interacting with stakeholders
- guidance on volunteer management
- risk management responsibilities.