AVBOB Integrated Annual Report 2018

CORPORATE GOVERNANCE The AVBOB Group (Group) is committed to the highest standard of corporate governance and conduct, as recommended in the King Code on Corporate Governance for South Africa 2016 (King IV). Good corporate governance requires a holistic approach to decisionmaking and it is more than just a “tick box” exercise. This notion is affirmed by the decision to reduce the principles contained in the King Code from 75 under King III to 16 under King IV. The Group is determined to ensure that its operations are based on ethical leadership and sustainability, which are the foundational pillars of good corporate citizenship. The Group strives to have the best processes in place for implementing the principles of good governance and assisting Directors to discharge their duties and responsibilities. The latter includes delivery of excellent service to all stakeholders. The Board of Directors (Board) is satisfied that the Group has an effective governance framework and that it continues to focus on those areas where governance can be further enhanced. The Board retains full and effective control over the Group through a well-developed governance structure. By adopting the principles of good corporate governance, theGroup has demonstrated its commitment to the highest standards of integrity and ethical conduct in dealing with stakeholders. Board of Directors Composition At 30 June 2018 the Society had a unitary Board structure consisting of four Executive Directors and AVBOB Board Investment Committee Planning Committee Audit-Risk Committee Remuneration and Nominations Committee Social and Ethics Committee Board and Board Committees Executive Functions Executive Committee Group Risk Committee Control Functions Management Functions Internal Audit Risk Compliance Actuarial Business unit support committees 24