Barclays 2010 Annual Report Download - page 69

The Board Audit Committee receives quarterly reports on control issues
of significance and a half-yearly review of the adequacy of impairment
allowances, which it reviews relative to the risk inherent in the portfolios,
the business environment, the Group’s policies and methodologies and the
performance trends of peer banks. The Chair of the Board Audit Committee
also sits on the Board Risk Committee. See pages 160 to 162 for additional
details on the membership and activities of the Board Audit Committee.
The Board Remuneration Committee receives advice from the Board Risk
Committee on the management of remuneration risk, including advice on
the setting of performance objectives in the context of incentive packages.
Summaries of the relevant business, professional and risk management
experience of the Directors of the Board are given on pages 9 to 11. The
terms of reference for each of the principal Board Committees are available
from the Corporate Governance section at: www.aboutbarclays.com.
The Chief Risk Officer is a member of the Executive Committee and has
overall day to day accountability for risk management under delegated
authority from the Finance Director. The Finance Director must consult the
Chairman of the Board Risk Committee in respect of the Chief Risk Officer’s
performance appraisal and compensation as well as all appointments to
or departures from the role.
Governance structure at Group level
Board oversight
Assurance
Risk adjusted performance
Board Audit Committee Board Risk Committee
Assurance Reporting and control
Board
Internal Audit
Chief Executive
Group Executive Committee
Governance and Control Committee Group Risk Oversight Committee
Authority controls appetite
Board Remuneration Committee
– Approves overall Group Risk Appetite.
– Monitors and manages risk adjusted
performance of businesses.
– Assesses the adequacy and effectiveness
of the Group Control Framework.
– Assesses management assurance processes.
– Considers the adequacy and effectiveness
of the Group Control Framework.
– Reviews reports on control issues of
Group-level significance.
– Reviews the Group risk profile.
– Approves the Group Control Framework.
– Approves minimum control requirements
for principal risks.
– Reviews remuneration principles
and approach.
– Approves remuneration based on
risk-adjusted performance.
– Reviews the adequacy and effectiveness
of the Group Control Framework.
– Monitors compliance with the Framework
including remediation of significant
control issues.
– Reviews reports on control issues of
Group-level significance.
– Sets policy/controls for liquidity, maturity
transformation and structural interest
rate exposure.
– Monitors the Group’s liquidity and interest
rate maturity mismatch.
– Monitors usage of regulatory and
economic capital.
– Oversees the management of the
Group’s capital plan.
– Monitors risk profile in respect to
risk appetite.
– Debates and agrees actions on the risk
profile and risk strategy across the Group.
– Considers issues escalated by Risk Type
Heads and Business Risk Directors.
Treasury Committee
Barclays PLC Annual Report 2010 www.barclays.com/annualreport10 67
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