Page 20 - Nanyang Technological University

CORPORATE GOVERNANCE

Introduction

In April 2006 under the Nanyang Technological University (Corporatisation) Act (Cap. 192A) (“NTU Act”), NTU was
corporatised from a statutory board to a not-for-profit company limited by guarantee (Reg. No. 200604393R) formed
under the Companies Act (Cap. 50) of Singapore. The governance of the University takes place within the NTU Act and
its key constitutive document, its Memorandum and Articles of Association.

NTU is committed to high standards of corporate governance, professionalism, integrity, transparency and commitment
at all levels, underpinned by strong internal controls and risk management systems.

Governance Evaluation Checklist

In addition to the application of good governance practices as a company and registered charity (Reg. No 01955), we
have, as an institution of public character (“IPC”), adopted best practices in key areas of governance that are closely
aligned to the principles and guidelines in the Code of Governance for Charities and Institutions of a Public Character
(the “Code”). In line with the disclosure requirement by the Charity Council that all IPCs are required to disclose the extent
of their compliance with the Code, NTU’s Governance Evaluation Checklist can be found at the Charity Portal website
(www.charities.gov.sg).

Board of Trustees

The NTU Board of Trustees is the highest governing organ within the University’s governance framework. The Board
comprises 19 members appointed by the Minister for Education, and is chaired by Mr Koh Boon Hwee. Our Board of
Trustees includes eminent business leaders, academics, alumni, entrepreneurs and professionals from the public service
and private sectors. Each member is appointed on the strength of his/her calibre, experience, stature and ability to
contribute to NTU, and brings with him/her independent judgment on issues of strategy, performance, resource allocation
and risk and compliance, as well as valuable relationships and networks that are essential for the growth of NTU.

The Board of Trustees is responsible for ensuring that the University acts in the furtherance of its objectives in education
and research, and properly accounts for and safeguards the funds and assets of the University. The Board of Trustees
works closely with the Management and stakeholders of the University to shape the vision, chart the major directions,
and develop programmes and initiatives to produce a strong and enduring impact for the University, and for Singapore
and beyond. The Board also approves the annual budget, the use of the University’s operating reserves and the annual
audited financial statements of NTU, among other responsibilities.

The NTU Board of Trustees has in place a framework with systems and processes for an effective Board based on the
following governance principles and practices:

1. Effective recruitment and induction of Trustees. The Nominating Committee is delegated the responsibility of
recommending suitable candidates and has in place an induction programme comprising interactive briefing
sessions. In addition, a Board Manual is available.

2. Board Committees are structured to assist the Board to fulfil its governance role, tapping each Trustee’s
competencies, skills and experience.

3. The Board works with Management to set the vision, mission and strategy of NTU.
4. The Board has an executive succession plan tailored to reflect NTU’s current strategy and organisation.
5. The Board has a system for effective consultation and decision-making with executive sessions and board

meetings scheduled in advance, professional expertise advice available, internal guidelines and procedures for
conduct of board meetings and obtaining board approvals via circulation, and a Trustees’ portal as a secured
web-based resource centre for information relevant to the Board.

18 NTU ANNUAL REPORT 2015