We are committed to maintaining the highest standards of corporate governance. Our governance framework, led by the Board, supports IHG's culture, values and our commitment to conducting business responsibly.
Compliance with the UK Corporate Governance Code and our dual listing
As a dual listed company with a premium listing on the London Stock Exchange (LSE) and a secondary listing on the New York Stock Exchange (NYSE) we seek to comply with the governance principles set out in the UK Corporate Governance Code published in September 2014 (the “Code”) and have also adopted the corporate governance requirements of the US Sarbanes-Oxley Act and related rules and of the NYSE, to the extent that they are applicable to it as a foreign private issuer.
To provide greater transparency on our compliance with the Code, summarising how we have complied with the principles and provisions therein, view our Statement of compliance with the UK Corporate Governance Code (PDF 0.77Mb), as at 22 February 2016. This should be read in conjunction with the Corporate Governance Statement published in our Annual Report and Form 20-F 2015 (pages 50 to 77).
For our statement outlining the differences between the Group's UK corporate governance practices and those followed by US companies: Summary of significant corporate governance differences from NYSE listing standards.
Board and Committee governance structure
Our Board and Committee governance structure
The Board leads the strategic direction and long-term objectives and success of the Group through effective oversight and review, setting the Group's strategic aims and monitoring the performance of the Group and its risk management controls. A number of key decisions and matters are reserved for the Board's approval and are not delegated to management, these include matters related to Group business and commercial strategy; significant investment proposals; maintaining an overview and control of the Group's operating and financial performance; monitoring the Group's overall system of internal controls and risk management and governance and compliance. These are detailed in the Schedule of Matters reserved for the Board (PDF 0.2Mb).
Who is on our Board of Directors?
In the Board's view, all of the current Non-Executive Directors are independent and represent a strong source of advice and judgement. In accordance with the Code at least half the Board, excluding the Chairman, are independent Non-Executive Directors.
You can view further details on the roles and responsibilities of the Chairman, Chief Executive Officer, Senior Independent Non-Executive Director, Non-Executive Directors, and Company Secretary in the document below.
View further details PDF 0.09MB
The Board delegates certain responsibilities to its Committees, namely the Audit Committee, Corporate Responsibility Committee, Nomination Committee and Remuneration Committee, to assist it in carrying out its functions: Our Committees
We also have the following Management Committees: Executive Committee, Disclosure Committee and General Purpose Committee: Our Committees
Each region also has its own
Regional Executive Committee.
Board performance evaluation
The 2015 evaluation of the Board and its Committees was conducted internally with support from an independent external facilitator with no connection to IHG. The process undertaken for the 2015 evaluation and actions are reported on page 60 of our Annual Report.
The 2014 Board evaluation was conducted internally – our progress against the actions identified can be seen on page 60 of our Annual Report 2015.
Annual Report and Form 20-F 2015 PDF 6.13Mb
With a presence in nearly 100 countries globally, we value the benefits of diversity, beyond gender, and strongly believe that our leadership should reflect the diversity of our employees, our guests and the local communities in which we operate. Therefore, the Board seeks diversity of skills, experience, geographical representation and gender both in its composition and throughout all levels of our business.
In 2013, we introduced a Board Diversity Policy (BDP) as well as a Global Diversity and Inclusion Policy (GDIP) to ensure that diversity in its broadest sense remains a key priority. The Board supports the recommendations of the Davies Review on Women on Boards, published in February 2011, and targets a minimum of 25% female representation on the Board.
Articles of Association
Our current Articles of Association can be viewed: Articles of Association (PDF 0.43Mb)