120 AL-SALĀM REIT CORPORATE GOVERNANCE OVERVIEW STATEMENT ANNUAL REPORT 2023 The main purpose of a governance structure is to address the central issues revolving the four components of the governance operating model summarised below: COMPONENTS SUBCOMPONENTS DESCRIPTION STRUCTURE • Committee structure and charters • Organisational design and reporting lines • Control and support function roles • Outlines board and management committee structures, mandates, membership and charters • Establishes design of governance framework • Delineates organisational structure, reporting lines and relationships • Highlights roles and independence of control and support functions from business owners OVERSIGHT RESPONSIBILITIES • Committee (s) authorities and responsibilities • Management accountability and authority • Board oversight and responsibilities • Reporting, escalation, and veto rights • Outlines the type of committees (board and management) and associated responsibilities • Specifies functional accountabilities for day-to-day management of business practices across the enterprise • Delineates board and management approved policies supporting delegation of authority (decision rights) including reporting, escalation and veto rights TALENT & CULTURE • Business and operating principles • Core belief and risk culture • Leadership development and talent programmes performance • Management and incentives • Aligns governance with operating and business principles • Articulates core beliefs and foundation for culture • Highlights characteristics of risk culture • Outlines leadership succession, assessment, and development responsibilities • Aligns performance management, approach, measures and responsibilities to compensation and incentive plans INFRASTRUCTURE • Policies and Procedures • Establishes design and content of policy manual and associated procedures • Outlines type and frequency of internal reporting and communications • Define scorecards, measures, and metrics to track performance • Aligns technology and governance requirements
RkJQdWJsaXNoZXIy NDgzMzc=