The AICD’s NFP Governance and Performance Study is in its 10th year and is the world’s
largest study in NFP governance.
Over its 10 years the NFP study has helped raise awareness of the contribution of directors.
This year the study found that 55 per cent of directors surveyed spend one to five days a
month on their NFP role and 23 per cent spend more than five days a month on a single
The latest report identifies the factors that contribute to NFP board workloads which include
rising governance expectations, community trust challenges for NFPs, the introduction of
the NDIS, growing financial pressures, and changes in organisation complexity and
In addition to investigating the time directors spend on NFP board, this year’s study explored
directors’ remuneration, succession planning, the sports sector, the slowdown in mergers,
and financial performance.
AICD CEO and Managing Director, Angus Armour, thanked the tens of thousands of NFP
directors who have contributed to the study over the last ten years.
“The annual NFP governance and performance study supports our mission to strengthen
society through world-class governance.
“Our long-term tracking shows us that there has been strong and continuous improvement
in NFP governance, which is being increasingly scrutinised.
“As governance workloads rise in the NFP sector, it’s important to monitor whether the
current model of NFP governance is sustainable and what can or should be done to
“The AICD remains committed to the NFP sector and we are proud that we were again
able to offer 140 scholarships to small NFPs to attend training programs this financial year.”
Key findings of the 2019 NFP Governance and Performance Study:
- Directors are devoting more time to each NFP board role with 23 per cent of survey
respondents spending more than 5 days per month on a single NFP (compared to 13
per cent in 2013).
- NFP boards continue to comprise of mostly older directors with 77 per cent over 50
and only five per cent under 40 years old.
- The percentage of directors being remunerated hasn’t fluctuated, with 19 per cent
remunerated this year.
- NFP directors are optimistic about their organisation’s future but financial challenges
persist with some inconsistency between profit expectations and actual profit.
- Fewer organisations are engaged in or are considering merging with another NFP.
- Directors are generally satisfied with the performance of their board.
- Key challenges for sports organisations are growth in revenue and membership, and
Media Contact: Maegen Sykes 0439 167 567
The AICD is the independent and trusted voice of governance, building the capability of a community of leaders for the benefit of society. Our membership of more than 44,000 includes directors and senior leaders from business, government and the not-for-profit sectors.