A board report can be used to achieve various objectives, including encouraging discussion, recognizing achievements, outlining strategic planning, and making sure that accountability and transparency are maintained. However, a lot of reports fall short of their goals due to a variety of reasons, including inadequate structure, missing or misinterpreting crucial information, and poor presentation.
Understanding your audience is the first step in creating a well structured report. To make the information more accessible it is helpful to use clear headings. In addition, using a mix of visuals (e.g., line charts to illustrate trends, or bar graphs that compare different values) can help board members grasp the information you’re providing quickly.
Once you’ve set the mood, it’s time to present specific numbers and metrics that can be compared against previous performance. This is a good time to discuss any projects coming up or strategies that require approval from the board. It is possible to give these projects greater significance by linking them to the goals and strategies you’ve described.
It’s also beneficial to include a section that compares your company’s performance based on stock price with its peers. This can aid the board in understanding its relative positions, growth expectations, and valuation. It also provides valuable insight into investor perception. Additionally, a table of consensus estimates could be included to show the board how Wall Street is currently positioned on key metrics. This is a valuable piece of information for firms with sell-side analyst coverage.
