Arabtec Holding PJSC and its Subsidiaries (the "Group") are committed to ensuring good corporate governance. The Group believes that good corporate governance enhances shareholder value.
Effective corporate governance starts with a Board of Directors
that is engaged, committed and effective. Our Board establishes,
maintains, and monitors standards and policies for ethics, business practices, and
compliance that span the Group. Working with management,
the Board sets strategic business objectives, ensures that the Group has leadership
that is dynamic and responsive, tracks performance, and institutes strong financial
controls. We believe in strengthening investor confidence and creating long-term
Arabtec Holding’s corporate governance principles include honesty, trust and integrity,
openness, performance orientation, responsibility and accountability, mutual respect
and commitment to the organization. The Board Members and management of Arabtec Holding
have developed a model of governance that aligns the values of all the corporate
participants that include:
Rights and equitable treatment of shareholders: Arabtec Holding respects
the rights of shareholders and helps shareholders to exercise those rights. We effectively
communicate information that is understandable and accessible and encourage shareholders
to participate in the general meetings.
Interests of other stakeholders: Arabtec Holding recognizes that it has legal
and other obligations to all legitimate stakeholders.
Roles and responsibilities of the board: Arabtec Holding recognizes that
the Board of Directors needs a range of skills and understanding to be able to deal
with various business issues and have the ability to review and challenge management
performance. It needs to be of sufficient size and have an appropriate level of
commitment and independent Board Members to fulfill its responsibilities and duties.
Integrity and ethical behaviour: Ethical and responsible decision-making
is not only important for public relations, but it is also a necessary element in
risk management and avoiding lawsuits. Arabtec Holding has developed a code of conduct
for it's Board Members that promotes ethical and responsible decision-making.
Disclosure and transparency: Arabtec Holding consistently clarifies
and makes publicly known the roles and responsibilities of the Board and management
to provide shareholders with a level of accountability. Arabtec Holding implements
procedures to independently verify and safeguard the integrity of the company’s
financial reporting. Disclosure of material matters concerning Arabtec Holding is
timely and balanced to ensure that all investors have access to clear and factual
Arabtec Holding embraces full responsibility for the
impact of our activities on the environment, consumers, employees, communities,
stakeholders and all other members of the public sphere.
Arabtec has internal policies pertaining to the ethical
conduct of its employees. They identify the Group's expectations of workers and offer guidance
on handling some of the more common ethical problems that arise in the
course of doing business. Having such a policy will leads to greater ethical awareness, consistency
in application, and the avoidance of Corporate disasters. Arabtec Holding’s
ethics policies include treating everyone
fairly with mutual respect regardless of race, religion, gender and origin.
Sustainability Principles that follow these guidelines:
Shareholders elect the Board of Directors to oversee management and to assure that
shareholder long-term interests are served. Through oversight, review, and counsel,
the Board of Directors establishes and promotes Arabtec’s business and organizational
objectives. The Board oversees the company’s business affairs and integrity, works
with management to determine the company’s mission and long-term strategy, performs
the annual CEO evaluation, oversees CEO succession planning, oversees internal controls
over financial reporting, and assesses company risks and strategies for risk mitigation.
The Board has three committees: an Audit Committee and, a
Nomination and Remuneration Committee and a strategy Committee.Each committee is responsible for the review and oversight of
company activities in the areas designated in its charter.
Internal control procedures are policies and processes implemented by Arabtec Holding’s
Board of Directors, the Audit Committee, management and other personnel to
provide reasonable assurance that Arabtec Holding is achieving its objectives
related to reliable financial reporting, operating efficiency and compliance
with laws and regulations. Arabtec Holding has an Internal Audit Department that
reports to the Audit Committee. Its members are personnel who consistently
test the design and implementation of its internal control procedures, the
integrity of the data and the reliability of its reporting.