We explain these in more detail in the section Understanding our governance approach and in the Governance Report.
Due to SEM’s partnership model, the inherent risks in respect of business strategies and governance arrangements differ. With a rapidly changing regulatory landscape across Africa, the cluster is increasing its governance and compliance support, particularly where operations are small and capacity is limited.
Governance support focuses on on-boarding and training initiatives to ensure that Sanlam Board representatives are empowered to exercise responsible control and direction. SEM board representatives provide feedback after associate board meetings to highlight any gaps relative to Sanlam’s tight governance principles and to flag any matters that impact Sanlam’s interest in line with minority protection in shareholders’ agreements.
To track successful strategic execution, we identified metrics to monitor performance across products and regions.
SEM is assisting partner businesses on a prioritised basis to design and implement procedures to comply with local laws and regulations, and to report on compliance matters for the cluster to oversee potential risk. This forms part of a newly developed cluster compliance monitoring programme.
Strong governance includes:
The South African operating environment over the last few years experienced governance challenges in both the private and public sectors. We have a particular role to play in this regard by continuing to entrench our culture of ethical behaviour throughout the organisation and to promote similar behaviour in society in general.