Governance Structure Review
Board Governance Structure Reviews
Regulators sometimes question the suitability of the Board structure following a regulatory review or negative company event.  This is increasingly so following the global economic crisis and various international reports and recommendations informing corporate governance. When this requirement is set companies are required to go beyond the Code and to consider the effectiveness of their current structure in running the business efficiently with sufficient challenge.
A review should establish:
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the completeness and accuracy of the current structure
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identify the deviations from best practice
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establish why this is appropriate
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verify the degree to which directors conform to the documented structure in practice, and
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document any changes they consider appropriate to improve the efficiency of the Board.
Reviewing Board Governance Structure
It is essential that any assessment of the effectiveness of the governance structure is based on a sound foundation that sets out unequivocally:
• Responsibilities
• Reporting lines
• Levels of authority
• Competency standards expected
To ensure that the deliverables are met and that robust evidence supports conclusions and recommendations we provide a project-based approach undertaken by a project manager supplied by CTP Global.
Key Steps
The key steps of the review are designed to:
• Test the alignment of the actual operation of the board and it’s committees with the current governance framework
• Identify any divergence from the Code guidance and the reasons for that divergence
• Draw conclusions and recommendations for any changes required to improve the alignment to good practice and/or effectiveness
A Phased Approach
We undertake our reviews normally in two phases:
Phase 1: Suitability of the board structure
Phase 2: The board in practice
As part of our assessment we review Board Terms of Reference, Committee Terms of Reference, Structure Charts, Role Profiles and Authorisations, and Board Packs.
Our approach to all work with Boards is designed to meet with key Principles for Business and all regulatory requirements.
To discuss your requirements for a Governance Structure Review contact us now...
Good Governance: Great Performance
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