Our approach to Corporate Governance is built upon a set of strong principles and values set by the Board of Directors for our management and employees. Our Board also provides our long-term strategy and appropriate oversight. It establishes the appropriate tone at the top; oversees management and long-term performance; reviews financial planning and audit process; ensures risk oversight and compliance; sets compensation and performance goals; and manages director nomination, evaluation and succession planning. It oversees our economic, social and environmental sustainability.
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But good Corporate Governance is not an end in itself. It is a means to create market confidence and helps focus on the long term. Therefore, Nestlé has adopted best practices in governance including an intense dialogue with our shareholders in our roadshows, investor meetings, shareholder surveys, analyst and engagement calls, Chairman’s Roundtables and bilateral meetings. We actively engage with the providers of capital and other stakeholders to ensure our sustainable long-term growth.
Our Annual Report includes both our financial and nonfinancial commitments. It gives insights into how material issues affect our financial performance and how our long-term strategy relates to our ability to create value. We recognise that this is central to our business model and gives us our license to operate. For our company to be successful over the long term and create value for shareholders, we must also create value for society.