MB World Group Berhad (“MBWG” or “the Company”) believes in diversity and values the benefits that diversity can bring to its board of directors (‘the Board’). Diversity promotes the inclusion of different perspective and ideas, mitigates against groupthink and ensures that MBWG has the opportunity to benefit from all available talent. The promotion of a diverse Board makes prudent business sense and makes for better corporate governance.
Practice 4.5 of the Malaysian Code on Corporate Governance 2017 (“MCCG”) recommends that the Board should establish a policy formalizing its approach to gender diversity. MBWG is committed to and recognizes the benefit of gender diversity. To the extent practicable, MBWG will address the recommendations and commentary provided in the MCCG.
The Board’s approach to diversity is set out below and will be overseen by the Nomination and Remuneration Committee (“NRC”) which will take steps to ensure that diversity and in particular women candidates are sought as part of its recruitment exercise.
This Diversity Policy provides a framework for the Group to achieve:
a diverse Board and skilled workforce, leading to continuous improvement in service delivery and achievement of corporate goals;
a workplace culture characterised by inclusive practices and behaviours for the benefit of all stakeholders;
improved employment and career development opportunities for women;
a work environment that values and utilises the contributions of employees with diverse backgrounds, experiences and perspectives through improved awareness of the benefits of workforce diversity and successful management of diversity; and
awareness in all staff of their rights and responsibilities with regards to fairness, equality and respect for all aspects of diversity,
MBWG seeks to maintain a Board comprised of talented and dedicated directors with a diverse mix of expertise, experience, skills and backgrounds. The skills and backgrounds collectively represented on the Board should reflect the diverse nature of the business environment in which MBWG operates. For purposes of Board composition, diversity includes, but is not limited to, business experience, geography, age, gender, and ethnicity and aboriginal status.
3.1 The Board’s commitment
The Board is committed to workplace diversity, with a particular focus on supporting the representation of women in the composition of Board and Management of the Company.
The Board, assisted by management, is responsible for developing strategies to meet the objectives of the Diversity Policy, and monitoring the progress of achieving the objectives through the measures, monitoring, evaluation and reporting mechanisms as listed in section 4, 5 and 6 below.
The Board, through NRC, will conduct all Board appointment process in a manner that promotes diversity and in particular gender diversity. Where possible, and the appropriate candidates identified, the Board shall ensure that women candidates are recruited as Board Members and the Senior Management Positions to meet the objectives of boardroom diversity as recommended under MCCG. The Board has set a policy that at least one member of the Board will be of the female gender.
The Group’s diversity strategies include:
recruiting from a diverse pool of candidates;
reviewing succession plans to ensure an appropriate focus on diversity;
identifying specific factors to take into account the recruitment and selection processes to encourage diversity;
developing programs to develop a broader pool of skilled and experienced senior management and board candidates, including, workplace development programs, mentoring programs and targeted training and development; and
any other strategies the Board develops from time to time.
To pursue the objectives of diversity, the Board would take into consideration the following measures:
The NRC is responsible in ensuring that gender diversity objectives in particular gender diversity are adopted in Board recruitment and succession planning processes.
The NRC will shortlist the potential candidates based on the following criteria:-
i) skills, knowledge, expertise and experience;
iii) integrity; and
iv) in the case of the candidates for the position of Independent Non-Executive Directors, the NRC would also evaluate the candidates’ ability to discharge such responsibilities/functions as expected from Independent Non-Executive Directors;
The Company shall adopt a more accommodating boardroom culture and environment that is free from harassments and discriminations, in order to attract and retain women participation on the Board and Management of the Company.
To avoid mismatch and ineffective appointment of the female Directors, the Company’s policy is at least one member of the Board shall be of the female gender and will actively work towards having more female Directors on the Board.
MBWG is committed to a merit based system for Board composition within a diverse and inclusive culture which solicits multiple perspectives and views and is free of conscious or unconscious bias and discrimination. When assessing Board composition or identifying suitable candidates for appointment or re-election to the Board, MBWG will consider candidates on merit against objective criteria having due regard to the benefits of diversity and the needs of the Board.
5. MONITORING AND EVALUATION
The Board, through NRC, will monitor the scope and applicability of this policy, from time to time. The Management is responsible for implementing, monitoring and reporting on the progress of achieving the Objectives.
In accordance with the Listing Requirements of Bursa Malaysia Securities Berhad on the disclosure of Corporate Governance Statements based on the MCCG in the Annual Reports, the Company will disclose in the Annual Report its gender diversity policy and the proportion of women participation at Board level.
This Diversity Policy was adopted by the Board of Directors on 26 February 2019.