What is the purpose of the King III report?

King III calls for integrated reporting (reporting of financial information with sustainability issues of social, economic and environmental impacts) and recommends that the audit committee engage an external assurance provider to provide assurance over material aspects of the sustainability reporting in the integrated …

What is King IV report on corporate governance?

King IV™ is structured as a Report that includes a Code, with additional, separate sector supplements for SME’s, NPO’s, State-Owned Entities, Municipalities and Retirement Funds. The King Code™ contains both principles and recommended practices aimed at achieving governance outcomes.

What is King Code of corporate governance?

The King Report and King Code defines corporate governance as “the exercise of ethical and effective leadership by the governing body”. This is why the King Report and King Code is so important – it sets out what ethical and effective leadership is.

What is corporate governance in South Africa?

Corporate governance in South Africa is informed by common law and statute, soft law and market regulation. South Africa is a member of the G20 and as such works closely with other members for the implementation of international best practice in financial and market regulation.

What are the Wates principles?

The Six Wates Principles

  • Purpose and leadership. An effective board develops and promotes the purpose of a company and ensures that its values, strategy and culture align with that purpose.
  • Board composition.
  • Director responsibilities.
  • Opportunity and risk.
  • Remuneration.
  • Stakeholder relationships and engagement.

What is the difference between King Code 3 and 4?

For IT governance, one of the most notable differences between the King Codes is that King IV emphasises that governance should focus on technology and information as separate issues, not one. This is a significant departure from King III, which focused on technology rather than information.

How many principles did the King III have?

1. Effective leadership characterised by the four fundamental principles of fairness, accountability, responsibility and transparency as well as the concept of ubuntu (4) , , a South African concept that includes mutual support and respect, interdependence, unity, collective work and responsibility.

What are the four governance outcomes of King IV?

It becomes mindful when practitioners are striving to achieve principles which will result in the four good governance outcomes of ethical and effective leadership required by King IV: adequate and effective controls and oversight; value creation in a sustainable manner; trust and confidence in the entity; and …

Where can I find the King III report and code of governance?

However, the reader is encouraged to consult the full King III Report and the Code of Governance Principles, now available from the Institute of Directors in Southern Africa. Board and Directors The board, director and company refers to the functional responsibility of those charged with governance in any entity.

What is King III and how does it affect your board?

King III requires boards to be comprised of a majority of non-executive directors, of whom the majority should be independent. Every year the directors who are classified as independent should have their independence assessed by the board, particularly those that have been on the board for longer than nine years.

What does King III mean for the public sector?

King III applies to “all entities regardless of the manner and form of incorporation or establishment of whether in the public, private or non-profit sectors.” ‘Apply or explain’ versus ‘Comply or explain’

What is the King III approach to stakeholders?

King III follows an inclusive approach to stakeholders, whereby the legitimate interests of stakeholders (eg employees, suppliers, customers, regulators, the environment, community, etc) are considered and recognised over and above solely the shareholders’ interests, in a manner which befits the long term sustainability of the entity.