Tags: Corporate governance
The idea of having a committee dedicated to the task of overseeing culture and ethics is relatively new. This survey report is intended to benchmark what is happening in the UK, providing a valuable insight into how companies are approaching the task.
About
Shifting perceptions of risk have increasingly encouraged companies to form special board committees to deal with broad questions of corporate responsibility, sustainability and ethics.
This IBE Survey Report looks at the nature and role of these board committees, and also at the way companies that choose not to have such committees handle this growing range of non-financial risks.
It is based on research into companies in the FTSE 350, including the mandates of the board committees, and was prepared in collaboration with ICSA: The Governance Institute and Mazars.
The idea of having a committee dedicated to the task of overseeing culture and ethics is relatively new. This survey report is intended to benchmark what is happening in the UK, providing a valuable insight into how companies are approaching the task, and highlighting the pros and cons of forming such a committee. The report will help all companies who are trying to decide on the right approach to dealing with these non-financial risks in an increasingly complex world.
Though a significant number of companies were found to have dedicated committees, not all have created one. A committee may bring more detailed oversight, but there is a risk of the board’s own responsibilities being diluted and of unnecessary overlap with other committees.