Syren Johnstone and Prof. The two overarching themes of the study were: The study found that, with the CG developments over the past two decades, in many areas, Hong Kong is aligned with other advanced markets. However, looking at developments elsewhere, there are some areas where the CG framework could be enhanced.
Resources Corporate Governance We are pursuing sound and efficient management and strengthening our governance structure for putting the Fujitsu Way into practice. Basic Stance In order to continuously raise the Fujitsu Group's corporate value, along with pursuing management efficiency, it is also necessary to control the risks that arise from business activities.
Recognizing that strengthening corporate governance is essential to achieving this, the Board of Directors has articulated the Basic Stance on Internal Control Framework, and these measures are continuously implemented.
Furthermore, by separating management oversight and operational execution functions, we aim to accelerate the decision-making process and clarify management responsibilities.
Along with creating constructive tension between oversight and execution functions, we are further enhancing the transparency and effectiveness of management by proactively appointing outside directors. With respect to Group companies, Corporate governance of hong kong are pursuing total optimization for the Fujitsu Group by clarifying each group company's role and position in the process of generating value for the group as a whole and managing the group to continuously enhance its corporate value.
The Framework for Strengthening Corporate Governance Fujitsu has established Executive Nomination and Compensation Committees in order to ensure the transparency and objectivity of the process for choosing candidates for the Board of Directors and determining their compensation, and to ensure the appropriateness of the compensation system and levels.
Taking into consideration the current business climate and anticipated trends, the Executive Nomination Committee makes recommendations of candidates draft for the Board of Directors, choosing candidates having objectivity in making management decisions, foresight and perceptiveness, and a superior character.
The Compensation Committee is tasked with making recommendations on executive salaries and methods for calculating bonuses linked to financial performance, taking into consideration compensation levels at other companies with similar business activities, business scale, and other factors.
The aim of this activity is to retain superior management talent, and provide effective incentives for improving the company's financial performance. Executive compensation will determined in accordance with the Executive Compensation Policy revised in an April meeting of the Board of Directors based on a report by the Committee.
In addition, we have adopted the processes in place, in accordance with laws and regulations, to ensure that conflicts of interest are avoided, including but not limited to obtaining approval from the Board of Directors. Executive compensation is comprised of the following: Basic Compensation Basic compensation is provided to all directors and auditors based on position and responsibilities as compensation for duties involving business administration and the execution of corporate operations.
Stock-based Compensation Stock-based compensation, intended for directors responsible for executing business is a long-term performance incentive, with the amount to be paid determined based on a qualitative evaluation of medium- to long-term initiatives.
Is provided for the purchase of Fujitsu shares, to be acquired through the Director Stock Ownership Plan. Also such acquired stock is to be held for the duration of the individual's employment. Bonuses Bonuses are short-term performance incentives to be paid to directors responsible for executing business.
Amounts are set based on business performance in the respective fiscal year. As a specific method to calculate a bonus, Fujitsu will adopt a profit-sharing model which uses consolidated operating profit and consolidated net profit as indices.
|Corporate entities||Download the report Who We Are The Asian Corporate Governance Association ACGA is an independent, non-profit membership organisation dedicated to working with investors, companies and regulators in the implementation of effective corporate governance practices throughout Asia.|
|Risk management||In recent days, the Stock Exchange of Hong Kong has begun to accept listing applications from innovative and high growth issuers that have Weighted Voting Rights "WVR" structure and biotech companies that have no revenue or profit.|
|Corporate governance and directors' duties in Hong Kong: overview | Practical Law||Corporate Governance Established for 70 years, the Housing Society has been run by Members coming from all walks of life with the mission to serve the needs of the Hong Kong community in housing and related services. Over time, the mission remains but our role has evolved to become much more complex, engaging in multiple initiatives with the Government as well as on its own.|
However, bonuses will not be paid in the event of negative net profit recorded under non-consolidated accounting for the term under review. In accordance with the resolution of the Annual Shareholders' Meeting, the total amount of basic compensation, stock-based compensation, and bonuses shall not exceed million yen per year for directors and million yen per year for auditors.
We pursue the sound and efficient execution of our business activities by striving to accelerate the penetration and implementation of the Fujitsu Way and to promote structures and procedures to ensure that business dealings are appropriate throughout the Group.
In terms of putting an internal control system in place, an organization with executive responsibility for internal control has been established. The Company is, moreover, pursuing initiatives to implement an even more robust operational execution structure by reviewing and revising its regulations and business operations.
To accelerate the penetration and implementation of the Fujitsu Way and ensure the appropriateness of business operations, Fujitsu is promoting the implementation and evaluation of its internal control structure.
This effort is led by the Fujitsu Way Promotion Council. In addition to the Fujitsu Way Promotion Council, two other groups were established and tasked with pursuing more robust and efficient business execution: The functions of each are described below.
In addition, it has also been promoting Project EAGLE, which is a Group-wide activity for building an internal control system for effective and reliable financial reporting in compliance with the Financial Instruments and Exchange Act, and by which the Group has been able to promote the implementation and evaluation of internal control.
The Council has established a promotion organization dedicated to this endeavor, which covers the entire Group. Along with improving controls over financial reporting, the goals of the project also include achieving greater efficiency through the pursuit of business process reforms across the Group.
The committee identifies, analyzes, and evaluates risks associated with business activities based on coordination among risk management and compliance executives while establishing and reviewing measures to address these risks.
It also reports on the status of serious risks to the Management Council and Board of Directors.Hong Kong Corporate Governance: a practical guide Foreword Hong Kong Exchanges and Clearing Limited Settlements in , Hong Kong was the world’s.
Another corporate governance weakness in Hong Kong, he said, is the fact there are too few women on company boards.
Only 11 per cent of directors are female in Hong Kong, well below the 17 per. Its main aim is to encourage meaningful corporate governance disclosures by Hong Kong-listed companies, under the revised Corporate Governance Code of the stock exchange listing rules, which took effect in BOC Hong Kong (Holdings) Limited is committed to maintaining and upholding high standards of corporate governance in order to safeguard the interests of shareholders, customers and employees.
Corporate Governance in Hong Kong, China Rising to the Challenge of Globalization Stephen Y. L. Cheung Stephen Y. L.
Cheung is Professor, Department of Economics and Finance, City University of Hong Kong. The Companies Ordinance has strengthened Hong Kong's competitiveness and reinforced Hong Kong's position as an international financial and commercial centre through enhancing corporate governance, facilitating business and modernising Hong Kong's company law.