How to Write a Well-Orchestrated Board Report
A board report can be used to accomplish a number of objectives, including encouraging discussion, recognizing achievements and laying out a strategy for the future, and ensuring accountability and transparency. Many reports fail to achieve their objectives due to a variety of factors. They are a result of an inadequate structure and poor visual presentation.
Understanding your audience is the first step to creating a well-structured report. Using clear headings to provide information with context and make it easier to understand is one method to achieve this. Additionally, incorporating a mix of visuals (e.g. line charts to convey trends, or bar graphs to compare the results of different variables) can aid board members in understanding the information you’re providing quickly.
Once you’ve set the mood, it’s time to discuss specific metrics and figures which can be compared with previous performance. This is also an excellent opportunity to include a brief overview of any upcoming initiatives or strategic needs that require approval from the board. You can give these initiatives more significance by linking them to the goals and strategies you’ve defined.
It’s also worthwhile to include a section that evaluates your company’s performance in relation to price and performance with other companies. This will aid the board in understanding relative position, growth expectations and valuation. It can also provide an important insight into the perception of investors. Additionally, a table of estimates from consensus sources could be used to show the board where Wall Street is currently positioned on key metrics. This is particularly useful for companies with sell-side analyst coverage.