Recent misconduct puts focus on school governance

A series of scandals involving high-profile private schools, and the resulting increased scrutiny, has highlighted the importance of robust governance practices in the sector.

School governance is more difficult than many would imagine. When issues flare, decision-makers on the school board or council can quickly find members of the school community, the media, the government or regulatory bodies holding their feet to the fire. Contested matters may also find their way to court, with all the reputational risk that this implies.

School boards need to keep the wellbeing of students top of mind, according to National Children’s Commissioner Anne Hollonds. “I’d hope school boards and directors of school boards would be trying to ensure the governance at their school is absolutely gold standard — not because of fear of exposure by the media, but because the wellbeing of children is genuinely their priority concern,” she says.

Hollonds and other child safety advocates are now urging further scrutiny of school governance, including peak bodies.

So, what makes school governance different from other forms of governance?

The foundational values of good school governance are not unlike those required of corporate or other not-for-profit boards. Yet the very nature of the organisation means there are several key differences that impose a heavy mandate for those who serve on school boards or councils.

Stakeholder differences

The unique mix of stakeholders — which includes children, parents, staff, alumni, regulators and government — means schools face higher levels of legal and reputational risk, says Karen Spiller OAM CF FAICD, formerly chair of Independent Schools Queensland and a former director of Independent Schools Australia.

“Stakeholders are much more visible on a daily basis, which can definitely make the lines between governance and management a lot fuzzier and harder for board members to genuinely hold the line on,” says Spiller, noting that occasionally some parents can feel they should have greater say when it comes to pushing their own agendas regarding teachers, sports teams or other matters.

“We have some parents who don’t want to have their children experience any difficulty, [or who feel] they should never fail, and so on,” says Spiller. “Managing parents and parents’ expectations is becoming one of the greatest challenges facing principals and school leadership — and therefore facing boards.”

Spiller notes that school boards are often comprised of members of the community who want to give back, but might lack formal governance training.

Bruce McKay FAICD, chair of St Philip’s College in Alice Springs, says that schools could support new board members to undertake the necessary training — as St Philip’s did with a new principal who was thrust into the role when the incumbent resigned.

Different metrics

Although the metrics most suited to measuring the performance of a school board and the school itself also differ, there is no one-size-fits-all approach. However, common metrics used to measure school performance might include enrolment projections, student outcomes, tertiary offers and tertiary outcomes.

Given that schools are “$60m–$100m businesses”, says Spiller, a sound understanding of financial metrics is also key. “Everyone’s been to school and everyone thinks they know about school management, but school governance is another kettle of fish. It’s very important that board members also understand the school as a business.”

Governance fundamentals

Several fundamentals of strong school governance endure over time.

Although McKay is based in Sydney, he flies into Alice Springs regularly for face-to-face board meetings at the college and to attend school events ranging from graduations to assemblies. Having “boots on the ground” is important, he says.

“You get a feel for the culture of the organisation in a way you can’t [remotely].” 

Formal weekly to fortnightly communication between the principal and the chair is crucial, notes Spiller.

“The board chair needs to be apprised very quickly of any matters that have either great sensitivity or the potential to impact on the reputation of the school,” she says. “Particularly if the principal is in the early years of his or her career, having an older, wiser colleague to walk alongside is very helpful.”

Undertaking parent and student satisfaction surveys every two years or so, and providing opportunities for interaction between directors, parents and staff members, could also be useful to maintain important information flows and feedback, she adds. 

Balancing governance and management

Board and council members occasionally need to “lean in” to support operational matters, says McKay, while also keeping in mind the important separation between these roles and stepping back as required.

“You’ve got to keep challenging yourself on what works best in your environment,” he says. “It’s not necessarily what everyone else has done.”

Conflicts of interest need to be managed through relevant policies and procedures.

Royal Commission lessons

The fallout from the Royal Commission into Institutional Responses to Child Sexual Abuse and related school culture and conduct investigations has prompted changes in school governance.

One of the findings from the Royal Commission’s report, which was released in December 2017, was that school boards dominated by alumni may have a vested interest in upholding the reputation of the school, which could lead to governance failures. For that reason, it recommended diversifying the composition of the board and inviting student representatives to participate in meetings.

Recent events have also highlighted another of the Royal Commission’s findings — that poor human resource management practices contribute to the failure to keep children safe in schools. Inadequate recruitment practices, failing to hold the subject of a complaint to account and poor management of non-teaching staff, such as groundsmen and coaches, also put children in harm’s way, the Royal Commission found.

Spiller notes that it’s mandatory for all board or council members to participate in and document annual child protection training, even if they don’t initially perceive this to be a part of their remit.

“We always need to remember that we have to protect every single child,” she says. “If we say at the conclusion of every board meeting that every decision we’ve taken at this meeting has been in line with our values, mission and purpose, then I think that’s a good start.” 

Questions directors should ask

Safeguarding the rights of the child should be paramount.

• What mechanisms are in place to hear from students about the school’s operations?

• What safeguards exist to ensure children can speak up safely about personal matters?

• How do you handle feedback from students?

• How are students informed of the outcomes from their feedback?

• Where and how does the school integrate with other community services such as healthcare? 

This article first appeared under the headline 'Old School Ties’ in the September 2024 issue of Company Director magazine.