The composition of the board is the composition of the people that a board chooses to help it govern an organisation. This includes the ratio of outside directors and inside directors and the proportion of men, women and minorities, and whether board members are from different generations. It also takes into account the proportion of experts in matters of governance and management like fundraising or legal risk.

Diversity is a key driver of a well-balanced board, and many boards are looking for new ways to diversify their board members. To identify gaps in diversity, organizations can conduct an audit of current board members and identify the areas where recruitment efforts view it are the most needed. Diversity must be considered across all dimensions, including race and gender, education and age in addition to skills and experience.

In addition to considering diversity, a successful board needs matrix can also help boards to determine the type of people they need on the board. A matrix is a grid similar to Excel which lists the characteristics of board directors as well as the abilities required to fulfill their responsibilities. This information can be used by a committee to create a shortlist of potential nominees and then rank them according to how they meet the requirements.

A board should be able to balance the interests of shareholders and the management team. This usually means that the board comprises an assortment of inside and outside directors and that the inside directors are experienced in managing nonprofits or businesses. Boards will also have a chairperson who will oversee the activities of the board as well as the committees.