Section 172 of the Companies Act 2006 requires directors to act in a way that would most likely promote the success of the company for the benefit of its members as a whole. Section 172 requires directors to consider, amongst other matters, the:
• likely consequences of any decisions in the long-term;
• interests of the company's employees;
• need to foster the company's business relationships with suppliers, customers and others;
• impact of the company's operations on the community and environment;
• desirability of the company maintaining a reputation for high standards of business conduct; and
• need to act fairly as between members of the company.
In discharging our section 172 duties the directors have regard to the matters set out above.
The directors delegate the day-to-day management of the Company to key employees and then work with management in setting, approving and overseeing business strategies and related policies. Board meetings are held periodically where the directors consider the Company's activities and make decisions. As a part of those meetings, the directors receive information in a range of different formats to ensure that they have regard to section 172 matters when making relevant decisions.
The Company's key stakeholders are its customers, employees, suppliers, regulators, government agencies, and non-governmental organisations. The views of and the impact of the Company's activities on those stakeholders are an important consideration for the Directors when making relevant decisions.