Barclays 2011 Annual Report Download - page 17

Good corporate governance is vital in
supporting the delivery of our strategic priorities.
Our Board Committees play an important role in working with
management to ensure our business is financially strong, that it
is well-governed and that any risks are identified and mitigated.
Our corporate governance practices have been brought together in
Corporate Governance in Barclays, which is available on our website
at www.barclays.com/corporategovernance. This framework provides
the basis for promoting the highest standards of corporate governance
in Barclays.
Board Risk Committee
David Booth
Understanding, monitoring and mitigating risk is a fundamental
task for any board. The Board Risk Committee plays a critical role
in setting the tone and culture that promotes the achievement of
effective risk management across the Group and has provided
oversight of, and advice on, both our risk appetite and risk
management and our capital and liquidity strategies.
For more detailed information on the Board Risk
Committee, please see page 43
Board Remuneration Committee
Alison Carnwath
The debate on executive remuneration has continued, with particular
focus on the relationship between bonus payments and company
performance. It is essential that we reward our people appropriately,
that their pay reflects performance and that we do not incentivise
them to take inappropriate levels of risk. The Board Remuneration
Committee provides direction and oversight of remuneration policy.
For more detailed information on the Board
Remuneration Committee, please see page 54
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2
3
45
Board Risk Committee
Allocation of time 2011 2010
1 Risk profile/Risk appetite
(including capital and
liquidity management)
45 51
2 Key risk issues 38 24
3 Internal control/Risk polices 6 2
4 Regulatory frameworks 4 4
5 Other (including Remuneration
and Governance issues)
7 19
%
1
2
3
Board Remuneration Committee
Allocation of time 2011 2010
1 Incentive awards 43 49
2 Compensation frameworks
and policy 39 42
3 Financial performance,
risk and regulation 18 9
%
The fundamental purpose of any company is the creation and delivery
of long-term sustainable shareholder value in a manner consistent
with its obligations as a responsible corporate citizen, and corporate
governance must be seen in this context.
We aim to create and sustain value over the long term by understanding
the external factors that present risks and opportunities for our business,
thereby ensuring our strategy is appropriate; building strong and stable
relationships with our customers, employees and suppliers; and ensuring
that we manage our risks and resources, including capital, appropriately.
Our strategy is focused on four key priorities: Capital; Returns; Income
Growth; and Citizenship and we ensure our Board discussions are focused
on these issues.
We have complied with the UK Corporate Governance Code and applied
its principles throughout 2011 and we continue to review our corporate
governance processes and practices to ensure they remain fit for purpose.
Actions taken in this respect during the year included:
– once again conducting a rigorous, externally facilitated Board
Effectiveness Review;
– in addition to our scheduled Board meetings, we held eight additional
meetings to discuss key issues that our business has faced;
– creating, in late 2011, a Board Citizenship Committee to have oversight
of our conduct with regard to our wider value and obligations to society
and our reputation as a responsible corporate citizen; and
– while ensuring that all Directors are appointed on merit, and ensuring
that there is an appropriate range and balance of skills, experience and
background on the Board, we have set ourselves the aspirational target
of ensuring that at least 20% of our Board is made up of women by the
end of 2013 and for this position to exceed 25% by the end of 2015.
Marcus Agius
Group Chairman
7 March 2012
The strategic report Governance Risk management Financial review Financial statements Shareholder information
Barclays PLC Annual Report 2011 www.barclays.com/annualreport 15