Good Corporate Governance
The Aboitiz Group’s new purpose statement, “To drive change for a better world”, is an inspired commitment to transform Aboitiz business practices and culture into a more holistic and enduring engagement of all our stakeholders. It is a commitment to create long-term value for our stakeholders. The purpose statement reflects a visionary perspective of what corporates can purposively build when, guided by its core values of integrity, teamwork, innovation and responsibility, a company makes it its business to be in the business of uplifting people’s lives.
Over the years Aboitiz Equity Ventures, Inc.(AEV) and Aboitiz Power Corporation (AboitizPower) have actively pursued growth in the Group’s core businesses of banking and financial services, food, land, infrastructure and power. But in today’s competitive, volatile and disruptive business environment, creating, building and growing a sustainable business can certainly be a challenge. In this environment, it is therefore important to embed the hallmarks of a high-performing organization – a strong purpose, a differentiated brand and a rich culture.
Good corporate governance practices have strengthened and supported the Aboitiz culture, purpose and brand. These practices provide the Group with a clear path for advancing business and communities. These practices enable the Group to drive economic and social development alongside the Group’s host communities’ growth.
2016 was another busy year for AEV and AboitizPower. Both companies worked on ways to further improve or deepen corporate governance practices and ingrain them into the corporate culture. The Board of Directors of AEV and AboitizPower reviewed and updated the companies’ Codes of Ethics and Business Conduct, and the Manual of Corporate Governance. The Boards also reviewed existing governance policies such as the securities trading and whistleblowing policies. Management was in constant flux as the leaders realigned, reorganized or created new teams, new organizational structures and committees, and pursued strategies to respond to the demands of the Group’s growth and changes in regulatory regimes. All these initiatives were intended to improve the Group’s agility, competence and capability to execute with excellence the agreed strategic objectives, to raise the levels of stakeholder engagement, to build up its human capital, and to achieve steady sustainable growth for the Group.
Despite regulatory challenges, 2016 still proved to be a productive year for the AboitizPower organization as its companies implemented improvements in business processes, systems and operations.
The various corporate service units of AEV and AboitizPower ensured that our directors were fully informed of important developments in the industries and business environment, and likewise shared their expertise and insights with Management. The team leaders and members of AEV and AboitizPower collectively pursued the Group’s 2017 strategic goals and business objectives. Our Boards worked tirelessly to ensure accountability of past and current company actions through a review of corporate strategies and reports to shareholders, legal and regulatory compliance reports, audit reports, financial results and budgets, and contemporaneous events that affect the business of AEV and AboitizPower.