Governance and leadership
Our culture of responsible business begins with strong leadership and the highest standards of governance. Our Board leads our governance framework which supports IHG’s culture, our values and our commitment to doing business responsibly.
The Board and its Committees
The Board is responsible for ensuring leadership through effective oversight and review of the Group’s activities.
Supported by its principal Committees (the Audit, Corporate Responsibility, Nomination and Remuneration Committees), the Board sets the strategic direction of the Group and aims to deliver sustainable shareholder value for the long term.
The Audit Committee: monitors the effectiveness of the Group’s system of internal controls and risk management framework, the Group’s risk appetite, and the integrity of the Group’s financial reporting, whistleblowing and regulatory compliance.
The Nomination Committee: reviews and considers the size, structure and composition of the Board and its Committees, giving due regard to ongoing succession planning, and makes recommendations to the Board.
The Remuneration Committee: reviews all aspects of executive remuneration, reviewing trends across the industry and setting executive remuneration policies, which are designed to incentivise and retain talent to support the delivery of our long-term strategy.
The Corporate Responsibility Committee: provides direction, oversight and advice to the Board on the Group’s corporate responsibility objectives and strategy, including its environmental impact, social and community impact, human rights considerations and stakeholder engagement.
During 2018, its priorities are to:
- Ensure delivery of our new 2018-2020 Responsible Business targets.
- Leverage our IHG Green Engage system and implement a number of initiatives to further reduce our carbon footprint.
- Further enhance our efforts to reduce water use in our operations through our water stewardship strategy.
- Continue the roll-out of IHG Academy across our global hotel estate.
- Continue to enhance disaster preparedness and response efforts in IHG hotels and local communities to deliver greater community resilience.
- Continue to increase awareness of human rights, embed the human rights standard and promote and implement e-learning courses and other training on Modern Slavery.
- Continue to deliver the responsible business stakeholder engagement plan, with a focus on colleagues, guests and IHG Rewards Club members.
Please see the corporate governance section on the Company’s website for the schedule of matters reserved for the Board, which sets out those matters that are not delegated by the Board to its Committees, and the terms of reference for each Board Committee, which set out their respective roles and responsibilities in more detail.
Our Management Committees
The Executive Committee: has responsibility for implementing operational decisions. Day-to-day management of the business is delegated to the Chief Executive Officer and the Executive Committee. There is clear delegation and oversight from the Board to the Executive Committee, which strengthens decision-making across key areas of the business.
The General Purposes Committee: attends to business of a routine nature with parameters set by the Board or an appropriate committee.
The Disclosure Committee: ensures proper procedures are in place for information disclosures required pursuant to UK and US accounting, statutory or listing requirements.