corporate
governance
stc’s Board of Directors is keen to implement effective governance of stc’s administrative and financial systems to organize its internal business through the Board of Directors and Executive Management – where stc’s governance framework clarifies the general roles and responsibilities, as well as the relationship between the Board of Directors and Executive Management, to achieve effective decision-making and enable compliance and risk management. This will support us in achieving targeted goals and protect the interests of shareholders and stakeholders, in a manner consistent with what is stated in the Companies Law issued by the Ministry of Commerce, and the Corporate Governance Regulations issued by the Capital Market Authority Council, and other relevant regulations and legislation in the Kingdom of Saudi Arabia, and the aspirations of the Kingdom’s Vision 2030.
In this aspect, stc is keen to benefit from the best applicable local and international practices to enable the concept and culture of governance at stc and achieve the highest levels of transparency, disclosure and targeted sustainability – which are considered the main pillars of stc’s strategy – through adopting, updating and documenting the charters, policies, procedures and authorities, including, for example but not limited to:
- stc Competing Standards Charter that was approved by the General Assembly in compliance with the Corporate Governance Regulations to enhance transparency and accountability
- The Continuous evaluation and review of the Board of Directors’ policies, charters and delegation of authorities
Moreover, to apply the highest levels of transparency, stc is committed to publishing all its documents that comply with governance requirements on stc’s website (www.stc.com.sa), which includes the governance mission and objectives, in addition to its governance documents, including:
- stc Bylaws
- stc Governance Charter
- stc Competing Standards Charter
- Board Members’ Appointment, Compensation and Executive Management Compensation Policy
- stc Conflict of Interest and Related Party Transactions Policy
- Anti-Fraud and Corruption Policy
- Code of Ethics and Business Conduct
Additionally, the governance sector has made tangible efforts to support sustainability initiatives by implementing several initiatives that enhance and highlight the role of the Board of Directors in adopting transparency and accountability for its members and adhering to ethical standards through disclosures and governance of related party transactions.
stc’s governance practices are distinguished at the Group level
stc’s Board of Directors is keen to enhance governance practices at the Group level, where the Executive Management has worked to support subsidiaries through initiatives related to enhancing the alignment in governance practices in line with the best local and international practices, and in a manner that serves the diversity and growth of stc’s activities.
stc adopts a comprehensive governance framework to develop governance practices in stc’s subsidiaries, including supporting the development of governance practices for the Boards of Directors of these subsidiaries, and developing policies related to appointments, rewards and training programs for Board members, in accordance with the regulatory frameworks that govern its work, including systems and regulations, as well as shareholders’ agreements.
