Corporate Governance Overview
Globe™ recognizes the importance of good governance in realizing its vision, carrying out its mission, and living out its values to create and sustain increased value for all stakeholders. The impact of global conditions and challenges further underscores the need to uphold high standards of corporate governance (CG) to strengthen our structures and processes.
The thrust for a CG-proactive business culture emanates from the top. As strong advocates of fairness, accountability, transparency and integrity in all aspects of the business, our Board of Directors, the management, the officers, and all our employees commit to the principles and best practices of governance in the attainment of corporate goals aligned with Globe Telecom’s strategic direction.
The Board of Directors, as part of its functions and responsibilities, leads, develops and reviews Globe Telecom’s strategic direction and business strategies regularly. The Committees created to support Board functions serve as venues to discuss business strategies and Globe Telecom’s strategic direction, among other business matters, in relation to the specific responsibilities of each Committee.
The Board, in its decision-making function, is also encouraged to decide with integrity, accountability and on behalf of the good interest of Globe Telecom and all its stakeholders. Management is entrusted with implementation and close monitoring of Board-approved business strategies, and is likewise tasked to conduct Globe Telecom’s business with the highest CG standards and conduct.
The Board, through its various committees, also oversees and conducts a review of our overall risk management systems, and our material controls, covering operational, financial and compliance areas. Finally, they approve operating expenses and capital budgets, major acquisitions and disposal of assets, major investments, and changes in authority and approval limits. In 2016, our Board reviewed our business strategies and direction, and we updated our mission, vision, and values to reinforce our commitment to our purpose as a sustainable business for our customers and stakeholders.
We understand that governance is beyond regulatory compliance, reports, and disclosures. We believe that CG’s relevance is most evident when its standards and practices are embedded in business culture and that having governance integrated in our business operations is a journey that we chose to invest time and effort in. We recognize that good governance standards must be present and experienced outside and inside the company such that the principles of fairness, transparency, integrity, sustainability and accountability should also be experienced among employees.
The basic mechanisms for CG are principally contained in our Articles of Incorporation and By-Laws. These documents lay down, among others, the basic structure of governance, minimum qualifications of directors, and the principal duties of the Board and officers of the Company. Our Manual of Corporate Governance (MCG), charters, policies and Code of Conduct and Ethics act as supplements. We revised our MCG in 2015 to comply with the SEC-mandated provisions that highlight the protection of stakeholders’ interests, among other CG principles. The same also reflected our strong adherence to best CG standards and practices espoused in the ASEAN Corporate Governance Scorecard (ACGS), which we have also adopted to continue to raise and monitor our CG standards and practices. Our MCG will undergo further revisions and updates in 2017 to align with the provisions identified in SEC Memorandum Circular No. 19, Series of 2016 or the Code of Corporate Governance for Publicly-Listed Companies.
We are likewise in full compliance with the Securities and Exchange Commission’s (SEC) Code of Corporate Governance, all listing rules of the PSE, and regulations issued by the SEC for which an annual Certification of Compliance is issued and signed by our Compliance Officer and countersigned by our President and CEO. We restructured our corporate website to enhance investor-friendliness and the convenient access of information relevant to shareholders and our various stakeholders. Other than comprehensive information about our business, products and services, our website also contains disclosures and reports, CG scorecards and surveys, press releases and an archive thereof, as well as our corporate policies, charters and manuals, vision, mission, core values, investor relations program, sustainability and corporate social responsibility activities, among others.
We ensure that all information included in our company website are accurate, relevant and up-to-date. We encourage our subscribers and stakeholders to explore the CG and Investor Relations pages of our website to learn more about our wonderful corporate culture apart from our products and services.
Committed to Creating More Value for Shareholders