Executive summary: How to write one (with a template)
In an ideal world, every board director would read every page of the board book. But in an increasingly busy world fraught with ever-evolving risks, regulations and opportunities, many directors focus on a handful of key pages. The executive summary should be one of them. The executive summary provides a clear and comprehensive overview of the essential details in reports, documents or board books. It offers succinct and engaging descriptions that orient the board to the following complex topics.
Here, we’ll explain how to write executive summaries that boost board effectiveness, including:
- What an executive summary is and its purpose
- Where an executive summary goes in a report
- The five parts of an executive summary
- How to write an executive summary
- An executive summary example and template
What is the purpose of an executive summary?
Executive summaries maintain board momentum. They allow board members to grasp the key points and make informed choices without getting bogged down by details.
An executive summary provides that access. In doing so, it:
- Saves time: Boards can quickly understand the document without reading its entire contents.
- Communicates key insights: Board administrators can summarize main points, findings and recommendations.
- Persuades and engages: A strong executive summary will encourage board directors to take action, whether approving a project or supporting an initiative.
- Clarifies the big picture: Summaries give the board context for the full document, explaining its relevance and significance to the discussion.
Where does the executive summary go in a report?
The executive summary is typically placed at the beginning of a report, directly after the title page and before the table of contents. This allows readers to access the summary before digging into more detailed content.
That means the typical order of a report will be:
- Title page
- Executive summary
- Table of contents
- Main body of the report
- Conclusions and recommendations
- Appendices (if needed)
The 5 parts of an executive summary
A practical executive summary includes the five following components:
- Introduction or background: This part sets the stage for the report or proposal, briefly explaining the document. Provide a summary of the problem or opportunity the report addresses and why it’s important.
- Objectives or goals: Clarify what the document aims to achieve, including specific outcomes, targets or results the report or proposal intends to accomplish. This can include solving a problem, presenting findings or making a recommendation.
- Key findings or main points: Highlight critical insights or discoveries from the full document. Offer a brief overview of the most important facts, data or conclusions, ensuring the reader can understand central takeaways.
- Recommendations or proposed actions: Suggest steps or actions the board should take based on the findings. Write clear, actionable recommendations or proposed solutions to address the topics the board report discusses.
- Conclusion or impact: Wrap up the summary with a statement on the significance or potential impact of the proposed actions. This is typically a brief explanation of how the recommendations will solve the problem or create value, highlighting their long-term effects.
How to write an executive summary
Here’s a step-by-step guide on how to craft an engaging executive summary:
- Understand the entire document: Before writing, thoroughly understand the content, purpose and structure of the full report or proposal. Make sure you grasp the main findings, recommendations and conclusions. Identify the document’s most essential elements: the problem or opportunity, objectives, key findings, recommendations and any calls to action.
- Start with the purpose: Begin by briefly explaining the document’s purpose. What problem or opportunity does it address? Why is this issue significant, and who will benefit from the proposed actions? Keep this section clear and concise, providing enough context for readers to understand the scope.
- Highlight the key findings or main points: Summarize the essential information supporting the document’s purpose. Focus on the key data, findings or arguments that have shaped the conclusions or recommendations. Avoid including excessive details; provide just enough for board members to grasp the core insights.
- Outline the objectives or goals: Clearly state what the document aims to achieve. What are the desired outcomes or goals the recommendations will help accomplish? These should align with the findings and highlight the overall impact of the document.
- Present recommendations or proposed actions: Offer actionable suggestions based on the findings. This is the core of the executive summary, as it outlines the steps the reader should take or consider. Be clear and specific, and avoid vague language. Focus on concrete actions that directly address the issue at hand.
- Conclude with the significance or impact: Wrap up the executive summary with a brief conclusion that ties together the recommendations and their expected impact. What is the broader significance of the proposed actions? How will they benefit the organization or stakeholders in the long term?
- Keep it concise and focused: Your executive summary should be brief — typically 1-2 pages. Keep your language clear and to the point, eliminating unnecessary jargon or details.
- Revise for clarity and persuasion: Once you’ve written the first draft, revise it for clarity and readability. Ensure that it flows logically and is engaging for the reader. Make sure it’s persuasive, emphasizing the importance and potential impact of the proposed actions.
Example of an executive summary of a report
Executive summary
This report comprehensively analyzes the organization’s financial performance for the last fiscal year and presents recommendations for improving financial sustainability in the upcoming year. The report intends to inform the board of directors about the organization’s finances, highlight key challenges and propose strategic actions for growth and stability.
Purpose and background
This report reviews the organization's financial health as we close the fiscal year and prepare for the next. It analyzes revenue trends, expenditures and cash flow, as well as our investment strategies and potential risks. The findings presented herein are essential for guiding the board’s decisions regarding budgeting, fundraising and future investments.
Key findings
- Revenue growth: Revenue has increased by 5% over the previous year, primarily due to increased revenue from our product line. However, we have experienced a decline in investment revenue, which accounted for 15% of our overall revenue last year.
- Expenditures: Operating expenses have risen by 8%, largely due to increased salaries and operational costs associated with expanding our programs. These expenditures align with our strategic goals but impact our bottom line.
- Cash flow: Cash flow has remained positive, but the organization’s liquidity is decreasing, particularly in the last quarter of the year. This could pose a challenge if revenue from fundraising does not meet expectations in the upcoming quarter.
Recommendations
To strengthen the organization’s financial health, the following actions are recommended:
- Diversify revenue streams: Explore new funding sources, including corporate sponsorships, membership programs and expanded investments to offset the decline in investment revenue.
- Cost control measures: Implement a cost-control strategy to manage rising operational costs, including reviewing vendor contracts and optimizing staff allocation.
- Build a cash reserve fund: Establish a reserve fund to improve liquidity and provide a safety net for unforeseen financial challenges. Aim for a three-to-six-month operating cost and buffer.
Conclusion
The organization has made significant strides in revenue growth and expanding its programmatic offerings, but challenges remain in achieving long-term financial sustainability. By implementing the proposed strategies, the board can help mitigate financial risks. Focusing on diversifying revenue, controlling costs and building reserves will help safeguard the organization’s financial future.
Customizable executive summary template
Write executive summaries with an impact
“Tell the board what they need to know, not what you know,” says David Platt, chief strategic development officer and executive leadership team member at Moody’s.
This is the true purpose of the executive summary, and it is why getting it right requires careful balance. Your goal in writing an executive summary should be to convert raw information into strategic insight, giving the board the tools to decipher the data and use it to make better decisions.
However, writing an executive summary can easily lead to staring at a blank page. Diligent Boards, part of the Diligent One Platform, has purpose-built AI to quickly and accurately summarize information — no writer’s block needed.
Start writing stronger, more strategic executive summaries with Diligent.
FAQs
What is an executive summary?
An executive summary is a concise, high-level overview of a longer document, like a proposal, report or board book. It provides key takeaways, essential entails, and recommendations to help board members quickly understand the document’s purpose and value without reading the entire content.
Why should the important contents of a long business report be summarized in an executive summary?
The important contents of a report should be summarized because it saves time by distilling complex information into clear and actionable insights. A well-crafted executive summary ensures critical messages aren’t overlooked and helps drive informed decision-making.
How can you tailor an executive summary to different types of board members and stakeholders?
Consider your audience’s priorities. Some board members focus on financials, while others prioritize strategic direction or operational updates. Use clear, direct language and highlight key takeaways relevant to their roles. If applicable, provide optional deep-dive sections or links to full reports for those who want more details.
What is the ideal length for an executive summary in a board report?
An executive summary should be one page or less, around 250-400 words. Focus on the most important takeaways, using bullet points or short paragraphs for readability. Avoid jargon, redundancy and excessive background details — board members need insights, not lengthy explanations.
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