Corporate governance
The Board leads the Group’s governance structure, providing stewardship of the Company, with the purpose of safeguarding its long-term sustainable success. The Board supports the principles laid down by the UK Governance Code 2018 as issued by the Financial Reporting Council, which applies to accounting periods beginning on or after 1 January 2019. See www.frc.org.uk for more details.
Governance and risk
The Board is responsible for the oversight of risk and the effectiveness of the Group’s system of internal control, including the financial reporting process. In doing so, it ensures the necessary resources are in place for the Company to meet its objectives and measure its performance. The Board has an effective governance and risk framework, which has been devised to ensure the Group is being operated and managed appropriately, and prudent and effective controls are in place to identify, manage or mitigate risks.
Each year, the Board undertakes a robust assessment of the Group’s emerging and principal risks, as part of an enhanced risk management process. Further details can be found within the Group’s Annual Report. The Board has delegated authority for monitoring risk management and internal controls to the Audit Committee. Further information features in the Audit Committee report in our Annual Report.
Workforce engagement
The Board and its committees receive regular updates on workforce matters via HR reports. These updates include site-based pay negotiations, vacancies and recruitment, review of talent management and succession plans, results of periodic employee engagement exercises and action plans to address issues raised. These activities are enhanced by the work of the Remuneration and Audit Committees which review remuneration arrangements for colleagues across the business and the issues raised via our confidential whistleblowing helpline and management’s response to them.
The Workforce Engagement NED has an important role in fostering effective engagement with colleagues to enable the Board to be kept informed of colleague views, and ensure these views are taken into consideration as part of the Board’s decision-making. Voice Forums are present at all our sites, facilitating two-way engagement with colleagues across the business and the Workforce Engagement NED attends these meetings, with results fed back to the Board.
Purpose, values and culture
Purpose, values and culture
One of the Board’s responsibilities is to assess and monitor culture and behaviours throughout the business, to ensure these are aligned with the Group’s strategy and purpose. We continue to make progress embedding our purpose and values across the business, increasing investment in colleague communication and engagement, and up-weighting training in areas such as leadership, inclusion and diversity. Progress is monitored through regular HR updates, Group-wide colleague surveys, Board site visits, issues raised in whistleblowing helpline calls, colleague retention levels and through the work of the Workforce Engagement NED.
Group strategy
Group strategy
The Board has an important role to play in reviewing and approving the Group’s strategy and in providing effective oversight of the implementation of the key elements of the strategy in order to deliver long-term sustainable growth.
ESG strategy
ESG strategy
The Board has overall responsibility for the Group’s ESG strategy known as the Enriching Life Plan, and oversight of climate-related risks the business faces. The Board delegates day-to-day management of this strategy to the ESG Governance Committee chaired by the CEO and supported by the ESG Director, Executive Leadership Team members and subject matter experts from across the Group. The CEO provides regular updates, and the Board reviews the ESG strategy on a biannual basis and progress against targets is reported at Board meetings.
Climate risks
Climate risks
Climate risks are incorporated into the Group’s Enterprise Risk Management framework. This ensures a bottom-up approach to identifying and quantifying risks for prioritisation, as well as appointed Executive Leadership Team members, Audit Committee and Board having oversight. In addition, the ESG Governance Committee oversees the ESG & Compliance Reporting Group, which is responsible for embedding the Task Force on Climate-related Financial Disclosures (TCFD) framework across the business. ESG matters and climate risks are also taken into account by the Board when making key decisions as part of its responsibility under Section 172 of the Companies Act.
Meet the senior team
Our Board of Directors are responsible for the governance of the Group and our Executive Leadership team have day-to-day responsibility for managing the business.
Governance polices and statements
We have a range of governance policies and statements that we adhere such as Code of Conduct, Safecall whistleblowing helpline and anti-bribery and corruption.