Monitoring reports are often misunderstood.

I have seen them treated as boring, bureaucratic exercises, and something to complete only because the board requires it. In those situations, CEOs may avoid creating the reports for as long as possible because the whole process feels tiring and even meaningless when there are competing demands for their time.

When using Policy Governance principles, however, monitoring does not equate to drudgery. It is meant to enable clarity, creativity, and to drive important achievements, all of which can energize staff, board members, and a wide variety of stakeholders.

Monitoring Is Not an Activity Report

One of the most important shifts CEOs make when using Policy Governance principles is moving from activity reporting to interpretation and evidence reporting.

It is tempting for a CEO to say to their board, “Here is everything we have been busy doing.” But monitoring when using Policy Governance principles is not about listing activities or operational plans. It is about demonstrating that a reasonable interpretation of board policy is being fulfilled.

Many organizations are accustomed to reporting effort: meetings held, programs launched, initiatives underway. While that information can be useful operationally, it does not answer the board’s central question: Is the organization complying with board policy as reasonably interpreted?

Monitoring reports answer the questions:

• How is the board’s policy direction being interpreted?
• Are those interpretations reasonable?
• What evidence shows that the interpretations are being achieved?

Any Reasonable Interpretation

One of the ten principles of Policy Governance is titled “Any Reasonable Interpretation.” It affirms that the CEO is accountable for acting within a range of policy interpretations that would be considered reasonable by the board.

This policy interpretation space calls for creativity and leadership, with monitoring reports being the CEO’s opportunity to show how that delegation authority has been exercised responsibly.

Rather than asking permission for every action, plan, or decision, the CEO demonstrates how the outcomes achieved align with a reasonable interpretation of board policy. This approach goes well beyond a typical compliance or “box-checking” process, as it has the CEO (supported by staff, if possible) translate policy into reality and bring the board’s stated values to life.

Keep It Simple

Another pattern I often see is over-complication.

Some people might assume that a monitoring report must be long and dense in order to be credible. In reality, clarity is far more persuasive than volume.

A concise interpretation, supported by credible evidence, usually does more to build confidence and generate acceptance by the board, than pages of detail.

Monitoring does not need to be elaborate to be strong. It just needs to connect the dots clearly.

A Strong Rationale Does the Heavy Lifting

The inclusion of a rationale showing why a policy interpretation is reasonable helps boards when making the decision to accept a monitoring report.

For example, if a recognized professional body outlines a recommended grievance process, referencing that standard can immediately help board members to assess the reasonableness of the interpretation. Rather than debating from scratch, the board can consider whether the chosen approach aligns with credible guidance.

Then, when board members can see that an interpretation is grounded in recognized standards, the decision to accept the report becomes more straightforward.

Connecting the Dots

At its simplest, monitoring follows a clear sequence:

Policy → Interpretation → Evidence

The board sets policy. The CEO articulates an interpretation. Evidence demonstrates that the interpretation is being achieved.

When the interpretation is stated explicitly before evidence is presented, the board can assess reasonableness first, rather than reacting to operational detail. Evidence then becomes confirmation rather than persuasion.

When those connections are explicit, clarity improves and tension diminishes. Board members can see how their direction has been understood and applied. CEOs can demonstrate thoughtful leadership. Acceptance becomes a natural conclusion rather than a negotiation.

A Brief Example

Consider a board policy that states the CEO will not “leave staff without an effective and unbiased method to deal with grievances.”

A CEO might interpret that compliance with this policy requires:

• A clearly documented grievance process in the personnel policies and procedures manual.
• Defined timelines for resolving grievances. [X% of grievances resolved with Y days].
• Evidence that staff understand the process and perceive it as fair. [A% of staff agree or strongly agree with the statement, “The grievance process is fair.”]
• A mechanism for informal or anonymous feedback.

A brief rationale might explain how the interpretation aligns with recognized human resources standards or reflects professional advice received.

The monitoring report would then connect that interpretation to evidence, e.g., grievance logs, resolution timelines, staff survey results, and documentation of the process itself.

The board’s task is not to redesign the grievance process, but to assess whether the interpretation is reasonable and whether the evidence demonstrates compliance with policy.

Monitoring Can Be Energizing

I once watched a CEO present the highlights of an Ends monitoring report at an annual general meeting. Instead of a dry recitation of statistics, the report told a coherent story of impact, clearly linked to board policy. The owners could see not only what had been accomplished, but how their input had shaped those outcomes.

It was not bureaucratic. It was exciting.

What made the report compelling was not just the data, but the clear alignment between the results achieved and the board’s stated direction.

In other experiences with my clients, legal/moral owners themselves were invited to participate in the development of Ends interpretations. Not only did this process introduce owners to the principles of Policy Governance, it inspired several people to consider future board member positions. They could see, first-hand, how the board’s direction had driven meaningful results.

When monitoring is approached as disciplined clarity rather than compliance paperwork, it strengthens accountability, builds trust between board and CEO, and brings the organization’s purpose to life.

Monitoring reports are not about proving busyness. They are about demonstrating alignment.

And when alignment is visible, it builds confidence and excitement around fulfilling an organization’s purpose.

If you would like a more detailed walk-through of how to structure a monitoring report, this video might be helpful: Policy Governance Walk-Through: How to Write a CEO Monitoring Report

For more detailed monitoring report guidance and templates, take the Board EXCELerator: Management Edition.