Gettng It Together Project & Implementaton Management CFE NETWORKING November 30, 2011
Fnancng NFA Fshng Best Practces Tranng & Mentorng Marketng & Brandng Governance Markets Fsh Legal Regulaton
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HR Practces Practces Purpose Operatng Assets CFE Target Speces Markets & Processng Cash
HR Practces Practces Purpose Operatng Assets CFE Target Speces Markets & Processng Cash
HR Practces Practces Purpose Target Speces Cash Markets & Processng CFE Operatng Assets
Gettng It Together Communty Needs Legal & Tax Management Processes Roles & Responsbltes Documentaton People Hstory Tradton Potental Capacty Lablty & tax mnmzaton Ownershp Benefcares Who How What Gudebook Select Tran Coach
Smplfy management to match needs Example: Current Structure Membershp Chef & Councl Development Corp Development Corp Resources Corp Ontaro Inc Ontaro Inc Ontaro Inc Ontaro Inc GP Ltd Resort Ltd GP Unts Unts Unts Unts GP Unts Unts Unts Development Corp Investment Investment Agreement Agreement Lodge Corp Shares
New Structure elect Membershp appont Bare Trust xxx Chef & Councl xxxbusness Corp. GP unts (0.1%) unts (99.9%) Master Asset Holdng Corp. Real Estate Mgmt Corp. xxxresort Corp. Xxxx Dev Corp. Xxxxx Ontaro Inc. Xxxx GP Ltd. GP Unts GP Unts Resort GP Unts Lodge GP Unts GP Unts unts unts unts unts unts xxx xxx xxx xxx Shares Shares Xxxx Investment xxxx Shares xxx Shares xxxold
Smplfy management to match needs Revsed Management Structure Frst Naton Chef & Councl Appont Trustees Bare Trust Economc Development Manager Busness Corporaton Board of Drectors General Manager Admnstratve Assstant Manager, Lodge Manager, Resort Ltd. Passve s Management Processes Roles & Responsbltes
Key Management Processes 1. Appontment of Trustees 2. Appontment of the Board 3. Strategc Plannng Process 4. Annual Busness Plannng Process 5. Cash Flow Management 6. Hrng 7. Establshng New Busness Unts 8. Performance Reportng Process 9. Busness Regulatory Process 10. External Negotatons Management Processes Roles & Responsbltes
Process-based roles and responsbltes must be documented Busness Regulaton Corporate Strategc Plannng Annual Busness Plannng Performance Reportng Members Input Head Persons Set laws and polces Enforce Input Bare Trustees Approve reportng requrements Reversonary Trustees Board of Drectors Establsh Corporate Polcy Drecton Approve & Communcate Drecton Approve & Communcate Advse Approve & Communcate General Manager Comply Draft Draft Consoldate Reports e.g. for ths Naton, who should approve strategc plan?
Process-based roles and responsbltes must be documented Busness Regulaton Corporate Strategc Plannng Annual Busness Plannng Performance Reportng Members Input Head Persons Set laws and polces Enforce Input Bare Trustees Approve reportng requrements Reversonary Trustees Board of Drectors Establsh Corporate Polcy Drecton Approve & Communcate Drecton Approve & Communcate Advse Approve & Communcate General Manager Comply Draft Draft Consoldate Reports
One example result Roles & Responsbltes for Busness Corporatons (XBC) Role Provde hgh level accountablty to the band membershp Gudance and oversght of the Board, Advsory Commttee(s), and Corporatons Safeguard return on nvestments and assets and ensure steady cash flow Responsbltes Chef holds shares n Busness Corporatons on a declaraton of trust for the beneft of the membershp Appont Board of Drectors on behalf of membershp Provde operatng mandate to Busness Corporatons Approve major captal nvestments (threshold defned annually). Approve fnancal underwrtng Approve corporate strategy Determne whether to take major strategc/nvestment decsons to membershp Role Develop and oversee the management of busnesses of the Corporatons Provde long-term strategc vson Responsbltes External Ensure long-term proftablty and sustanablty of the Corporatons Facltate advsory commttee advce and recommendatons to the Board Develop strategc plans for approval by the Board and Chef & Councl Ensure effectveness of manageral processes, approvals, fnancal controls, etc. Lead XBC busness development actvtes Defne marketng/brandng strategy/drecton for XBC Responsbltes Internal Optmze the exstng busnesses of the Corporatons Report on busnesses to Board and Chef & Councl Develop annual plans for approval by the Board Ensure capacty buldng of Board Ensure approprate polces and procedures are developed for Board approval Partcpate n hrng selecton and evaluaton of staff Ensure contract due dlgence Ensure resource avalablty for new/approved busness ventures Lase wth approprate Naton staff such as the Senor Admnstrator, Fnancal Controller, and the Economc Development Offcer Ensure busness plans are developed Role Manage day-to-day operatons of the busnesses n desgnated portfolo Develop capacty wthn the busnesses Responsbltes Wthn ther desgnated portfolo: Ensure annual performance and proftablty Implement Annual Plans and Strategc Plans Improve ongong operatonal effcences Identfy and develop capacty buldng opportuntes Utlze resources that have been made avalable n a cost-effectve manner Support busness development ntatves led by CEO Support busness managers n day-to-day operatons Partcpate n dentfyng, hrng and evaluatng staff Lase wth other General Manager(s), Naton departments and staff Develop busness plan wth CEO/Presdent drecton Chef & Councl Board of Drectors Presdent & CEO General Manager(s) Advsory Commttee(s) Role Supervson of Corporatons Accountablty and transparency to Naton and Chef & Councl for performance of Corporatons Recommend long-term strateges of XBC to Chef & Councl Responsbltes Appont members to Advsory Commttees Provde polcy and strategc drecton to Sr. Management Approve polces ncludng fnancal authortes Recommend Corporate Strategy to Chef and Councl Approve entry nto any new sector or change n drecton of operatons Approve annual operatng budgets and annual plans Approve the Audt report Lead hrng, compensaton and evaluaton of Senor Management (CEO & GMs) wth support from the HR department Host AGM reportng to membershp Ensure regular updates to Chef & Councl Act n an ethcal manner as Board members Role Provde advce and recommendatons to Board of Drectors, and senor management wthn a specfed busness sector Responsbltes Act n the best nterest of X Naton Represent busness communty Brng ndustry sector expertse Offer busness network Economc Development Offcer (not part of XBC) Role Facltate greater busness actvty n, for, and by Naton by: Evaluatng long-term economc needs of Naton Facltatng the development of human, fnancal, and physcal capactes Identfyng, researchng, and assessng new busness opportuntes Responsbltes Secure annual and project-specfc fundng Support band members n developng new busnesses Develop a postve/supportve envronment for busness development Develop marketng of Naton as economc partners Determne need for and develop physcal stes for busness/ndustral parks, plazas based on Land Use Plans Promote Entrepreneurs through: Tranng/Educaton Fnancal Support Fnancng Sales/Marketng Busness Plans Busness Lcensng Lase wth other departments and the X Busness Corporatons Lase wth entrepreneural busness owners/operators Management Processes Roles & Responsbltes
Frst Naton Governance Gudebook TABLE OF CONTENTS Introducton 1 Background 1 Purpose of ths Gudebook 1 What s Governance? 1 Governance Objectves 1 Gudng Prncples 3 Busness governance Structure 5 Legal Structure 5 Management Structure 11 How the Structure Acheves the Objectves 13 Cash Flow 15 Processes 16 Appontng Trustees 16 Appontng Board of Drectors 16 Hrng Management 17 Corporate Strategc Plannng 18 Annual Busness Plannng 18 Performance Reportng 19 Establshng new busness enttes 19 Drectng Cash Flow 20 Establshng Busness Regulatons 20 Negotatng Wth Thrd Partes 21 Changng Trust Agreement 21 Fnancng 21 Dspute Resoluton 21 Roles & Responsbltes 22 Members 22 Chef and Councl 22 Bare Trustees 23 Reversonary Trustees 24 Board of Drectors 25 General Manager/ CEO 26 Busness-Unt Managers 28 Developng Codes of Conduct 30 What s a Code of Conduct? 30 Fosterng Ownershp 30 Topcs and Template 30 Appendx A Glossary of Terms 37 Appendx B Fndngs from Communty Consultaton 38 Appendx C Questons & Answers 39 Appendx D Terms of Reference 40 Bare Trustees 40 Reversonary Trustees 40 Board of Drectors 40 Appendx E - Bblography 41
Holdng t Together 1. Agreed Purpose Make Money? Create jobs? Assert nherent rghts? Or?
Holdng t Together 1. Agreed Purpose 2. Real Busness Plan Products Markets Operatons Assets People Fnancal Coordnated steps over tme (ncludng fnancal model)
Fnancal Management Fnancal Reports Fnancal Forecast Where you ve been sales trend costs taxes owed cost trends Where you are gong revenues costs cash flow
Holdng t Together 1. Agreed Purpose 2. Real Busness Plan 3. Leadershp s anyone lstenng to VHF? Coordnated plan acton & adaptaton Fnancal control & measurement Operatng processes & procedures
Holdng t Together 1. Agreed Purpose 2. Real Busness Plan 3. Leadershp s anyone lstenng to VHF?
MNP 15 offces n BC Busness advsors to BC Frst Natons Contact: Ken Fraser MNP Vancouver 604-657-6587 ken.fraser@mnp.ca