“You need to look at qualifications. A board member should add to the company’s reputation which is crucial for investors and other stakeholders. Ideally, the perfect meritocracy is blind to and independent of issues of gender, background, and race, at least where it is not relevant. This is the next level to aspire for in any organization—that it is composed of persons of merit, not just a collection of diverse personalities.” ~Tomasa “Tammy” Lipana, Independent Director and Chairperson of SM Investments’ Audit Committee
Meritocracy, which emphasizes credentials, experience, and independent judgment to advance organizations and spur growth from the boardroom, is becoming a more prominent indicator of effective governance in today's changing corporate landscape.
The increasing focus on making sure board members contribute significantly to their roles is demonstrated by the adoption of frameworks like Merit, Excellence, and Intelligence (MEI) in other regions of the world. This idea is demonstrated at SM Investments Corporation through the independent directors' perspective.
SM's dedication to professionalism, accountability, integrity, equity, sustainability, and transparency is best demonstrated by its governance structure. By encouraging independent judgment and cultivating leadership that adheres to the highest standards, the company has been raising the bar for corporate governance.
Amando M. Tetangco, Jr., a former governor of the Bangko Sentral ng Pilipinas, was appointed Chairman of the Board in 2023 in a historic decision, becoming the first independent director to occupy this role in SM's history. This demonstrates the company's emphasis on professionalism, experience, and the importance of autonomous leadership in determining its course.
Independent directors occupy more than half of SM's board seats, surpassing legal requirements and establishing a standard for the sector. A balance between diversity and merit is demonstrated by the fact that two of these directors are women with backgrounds in corporate law, taxation, mergers and acquisitions, audit, and accounting, to mention a few. To further ensure impartial, independent judgment on business matters, independent directors also serve as the leaders of important committees such as Audit, Corporate Governance and Sustainability, Related Party Transactions, and Risk Management.
Ramon M. Lopez, a former secretary of the Philippine Department of Trade and Industry (DTI), and Robert G. Vergara, a former president, general manager, and vice-chairman of the Board of Trustees of the Government Service Insurance System (GSIS), round out SM's esteemed list of independent board directors.
These programs demonstrate a dedication to promoting competence and performance while maintaining high governance standards, satisfying societal and investor demands, and promoting inclusive growth.
About SM Investments Corporation
SM Investments Corporation is one of the leading Philippine companies that is invested in market-leading businesses in retail, banking, and property. It also invests in ventures that capture high growth opportunities in the emerging Philippine economy.
SM’s retail operations are the country’s largest and most diversified, consisting of grocery stores, department stores and specialty retail stores. SM’s property arm, SM Prime Holdings, Inc., is the largest integrated property developer in the Philippines with interests in malls, residences, offices, hotels, and convention centers as well as tourism-related property developments. SM’s interests in banking are in BDO Unibank, Inc., the country’s largest bank, and China Banking Corporation, the fourth largest private domestic bank.
For more information, please visit www.sminvestments.com
For inquiries, please contact: smic_corpcomm@sminvestments.com
No comments:
Post a Comment