FY 2011 Annual Report - Sheng Siong

Board Composition and Balance
Sheng Siong Annual Report 2011
Corporate Governance
Principle 2: There should be a strong and independent element on the Board, which is able to exercise objective
judgement on corporate affairs independently, in particular, from Management. No individual or small group of
individuals should be allowed to dominate the Board’s decision making.
Our Board comprises eight (8) Directors, four (4) of whom are non-executive and three (3) of whom are
independent. The list of Directors is as follows:
Name Date of Appointment Designation
Mr. Lim Hock Chee 10 November 2010 Chief Executive Officer
Mr. Lim Hock Eng 10 November 2010 Executive Chairman
Mr. Lim Hock Leng 10 November 2010 Managing Director
Mr. Tan Ling San 22 June 2011 Executive Director
Mr. Goh Yeow Tin 22 June 2011 Non-executive, Lead Independent Director
Mr. Jong Voon Hoo 22 June 2011 Non-executive Director, Independent
Mr. Francis Lee Fook Wah 22 June 2011 Non-executive Director, Independent
Mr. Lee Teck Leng, Robson 22 June 2011 Non-executive Director
As a group, the Directors bring with them a broad range of relevant industry knowledge, expertise and
experience in areas such as accounting, finance, business, legal and management. The size and composition
of the Board are reviewed by the NC on an annual basis to ensure that the Board has the appropriate mix
of expertise and experience and collectively possesses the necessary skills sets and core competencies for
effective decision making.
The Board is of the opinion that its current size of eight (8) Directors is appropriate, taking into account the
nature and scope of the Group’s operations. As independent and/or non-executive Directors make up half of
the Board, no individual or group of individuals is able to dominate the Board’s decision-making process. The
current Board composition represents a well-balanced mix of experience and expertise to facilitate effective
decision-making.
Each Director has an equal responsibility towards the Group’s operations. Our independent and/or nonexecutive
Directors play an important role in ensuring that the strategies proposed by Management are
constructively challenged, fully discussed and examined, and take into account the long-term interests of
not only the shareholders, but also of other stakeholders such as the employees, customers and suppliers of
the Group. Where appropriate and requested to do so by the Board, our independent and/or non-executive
Directors will also review Management’s performance in meeting prescribed goals and objectives, and monitor
the reporting of performance.
Executive Chairman and Chief Executive Officer (“CEO”)
Principle 3: There should be a clear division of responsibilities at the top of the company – the working of the
Board and the executive responsibility of the company’s business – which will ensure a balance of power and
authority, such that no one individual represents a considerable concentration of power.
Mr. Lim Hock Eng is our Executive Chairman. He bears primary responsibility for the workings of the Board,
by ensuring its effective function and oversight of the Group’s conduct and corporate governance structure.
Together with the other executive Directors, our Executive Chairman also provides overall leadership and
strategic vision for the Group.
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