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Hyprop Investments Limited
Integrated annual report 2016
PRINCIPLE
BOARD REQUIREMENT
COMMENT
APPLIED/ PARTIALLY
APPLIED/NOT APPLIED
2.8
The board should be
responsible for IT governance.
The board, through the risk committee, is responsible for ensuring
an effective response to relevant IT risks.
Applied
2.9
The board should ensure that
Hyprop complies with
applicable laws and considers
adhering to non-binding rules,
codes and standards.
In line with its charter, the board, assisted by the risk committee,
ensures Hyprop complies with applicable laws and considers
adhering to non-binding rules and standards.
Applied
2.10
The board should ensure
there is an effective
risk-based internal audit.
The outsourced internal audit service provider
PricewaterhouseCoopers (PwC) offers an independent, risk-based
internal audit function. The internal auditor reports directly to the
audit committee and attends all audit committee meetings, as an
invitee.
Applied
2.11
The board should appreciate
that stakeholders’
perceptions affect the
company’s reputation.
The board recognises that engaging with appropriate individuals or
groups enhances operations and enables the board to manage risk
and reputation. Investor relations and stakeholder engagement are
key focus areas for the board.
Applied
2.12
The board should ensure the
integrity of the company’s
integrated annual report.
The audit committee oversees integrated reporting and is
responsible for recommending this report to the board for
approval.
Applied
2.13
The board should report on
the effectiveness of the
company’s system of internal
controls.
The audit committee oversees internal audit, including the
appointment of the service provider monitors its performance and
approves the internal audit plan. It ensures the internal audit
function is subject to an independent quality review, as the
committee deems appropriate. Internal audit is outsourced and
independent. It assists management in assessing whether systems
of internal control are adequate and effective. Internal audit
prepares a plan aligned to Hyprop’s key risks.
Applied
2.14
The board and its directors
should act in the best
interests of the company.
The board acknowledges its role as trustee on behalf of
shareholders. In terms of its charter, it acts in the best interests of
the group by ensuring individual directors adhere to legal standards
of conduct; are permitted to take independent advice in
connection with their duties following an agreed procedure;
disclose real or perceived conflicts to the board and deal with them
accordingly; and deal in securities only in line with the policy
adopted by the board.
Applied
2.15
The board should consider
business-rescue proceedings or
other turnaround mechanisms
as soon as the company is
financially distressed as defined
in the Act.
The board is responsible for initiating business-rescue proceedings
if warranted. The audit committee and board review the application
of the going-concern principle, as well as the solvency and tests, as
set out in the Companies Act.
Applied