Marks and Spencer 2013 Annual Report Download - page 5

Overview Marks and Spencer Group plc
Overview Strategic review Financial review Governance Financial statements and other information
Annual report and financial statements 2013 03
Our governance principles
Leadership
Strategy, performance, responsibility
and accountability are at the heart
of your Board’s discussions. We
interrogate each area to ensure
high-quality decision-making, that in
turn drives a culture of continuous
improvement across the business.
Effectiveness
Our performance is independently
reviewed on a regular basis to
ensure that the Board remains
focused, is provided with actions
for improvement and meets targets
for future improvement.
Accountability
Strategic decision-making is discussed
within the context of risk, ensuring that
we understand and, where possible,
mitigate those risks to which M&S
is exposed.
Engagement
Building relationships with private and
institutional investors is fundamental to
achieving our goals. We do so through
face-to-face meetings and a range of
communications channels.
This year, we made internal changes to
strengthen our executive team on the
Board. John Dixon was appointed as
Executive Director of General
Merchandise and after 26 years with
M&S, has a proven track record in a
variety of roles, most recently as
Executive Director of Food. Former
Director of Retail Steve Rowe is a proven
retailer with 23 years’ experience at M&S
and he has succeeded John as
Executive Director of our Food business.
How we do business
The founders of M&S understood clearly
the importance of ‘doing the right thing’
to create long-term value. We continue
their tradition of responsible behaviour
through our comprehensive
environmental and ethical programme,
Plan A. To succeed over the long term
businesses need to make connections
with society and Plan A is our
manifestation of that. It also makes
sound economic, as well as moral sense.
Values matter in business – and we work
hard to maintain high levels of trust and
transparency with all our stakeholders
– particularly across the supply chain.
Operating our business in the right way
has benefited us at a time when
transparency of supply has never been
more important to customers.
Plan A forces us to think differently and
accept new ways of doing things. It’s
also influenced how we do business,
enabling us to be open – both inside
and outside the Boardroom – about our
achievements and equally frank when
we fall short of expectations or targets.
Over five years since launch, the
programme’s values remain central to
our long-term future and our connection
with employees and customers.
Shareholder engagement
Taking shareholders with us on our
journey allows them to see clearly the
progress we are making. We held a
number of investor and analyst events
during the year, including a visit to Istanbul
to see our international operations at first
hand. We also held a briefing on our
multi-channel re-platforming, hosted visits
to our new flagship store at Cheshire
Oaks and our new e-commerce
distribution centre at Castle Donington.
More recently, we held a briefing on our
plans for our General Merchandise
business. All of the information shared
at these events is available to our
shareholders at marksandspencer.com/
investors.
As part of our commitment to share our
progress, a preview of our forthcoming
Autumn/Winter Womenswear collection
is enclosed with this report. We have
compiled this exclusive edit for our
shareholders, which I hope illustrates
how we have listened and responded to
our customers.
The Notice of Meeting that accompanies
this report highlights a change of venue
for our AGM. As part of our plan to make
M&S a more efficient business, this year’s
meeting will be held at Wembley, which
has the facilities to host all our large-scale
events, both internal and external. It is
also easily reached by public transport
and we encourage all our shareholders,
large and small, to attend.
Looking ahead
As we move into the third year of our
plan we are fully committed to its
execution. Though the retail landscape
remains challenging, we are in no doubt
that this is the right course.
The fundamental and revolutionary
changes taking place to the
infrastructure of M&S are essential. Our
progress will become increasingly visible
to our stakeholders, as customers
experience the tangible benefits of the
improvements we have made. We are
confident that these changes will deliver
a more valuable company.
Delivering and executing this level of
change requires hard work,
perseverance and most of all
commitment. I am always impressed by
the efforts of our employees – wherever
they work in M&S – and I thank them
sincerely for their contribution this year.
Robert Swannell
Chairman
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