A joint report published as a preliminary draft in February 2018 by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) and the World Business Council for Sustainable Development (“WBCSD”) included a telling comparison of the results of surveys conducted by the World Economic...
The compensation and organizational development committee plays an essential role in setting the overall tone for the company’s philosophy with respect to rewards and incentives generally and executive compensation in particular. Among other things, the members of the committee are expected to continuously review and...
One of the most significant issues for the board of directors is oversight of the company information technology (“IT”) activities; however, until recently directors paid relatively little attention to IT even though their companies often were spending significant amounts of money on IT, information was...
It's essential for directors to consider whether the board has the full team and resources necessary to effectively and credibly carry out its oversight responsibilities. Lipton et al. recommended that consideration needs to be given to the following issues and questions: Does the board have a...
It is essential for top management of the company to define the company’s environmental, health and safety ("EH&S") policy in a manner that is appropriate to the nature, scale and environmental impacts of the company’s operational activities. Among other things, the policy should include a...
In order for directors to understand the scope of their responsibilities with respect to overseeing sustainability and determine how to best focus their energies, an assessment must be conducted of the issues, risks and opportunities that are material to the company’s operations, environment and communities.[1] ...
Companies often designate a corporate secretary or another person to oversee administrative matters relating to governance processes. Someone in this position would normally be expected to maintain relevant governance processes and structures through regular reviews and updates to the board manual and other governance documents;...
The first step in establishing a portfolio of internal governance instruments is the preparation, approval and implementation of foundation principles of corporate governance as determined by the board of directors in line with the requirements of statutes, regulatory guidance and, in the case of public...
A Global Compact publication recommended that the roles of the entire board and individual directors with respect to sustainability be integrated into various policies and statements of the duties and responsibility of the board and directors as follows: In statements referring to the requirement to...
CSR and corporate sustainability are like any other important management initiatives and require proactive leadership from the top of the organization. In fact, it is clear that the “tone at the top” is an important factor in the success or failure of any CSR or...