Changes in Corporate Governance and CSR at Westpac Banking Corporation

CHANGES IN CORPORATE
GOVERNANCE AND CORPORATE
SOCIAL RESPONSIBILITY
WESTPAC BANKING CORPORATION

2
Current board structure and model
Overview
Number of MDs and
CEOs for different
segments
Diverse and
experienced Board
with Two-tier
structure

3
Current board structure and model
Overview
 Millet-Reyes and Zhao (2010)
also pointed out that the Two-
Tier system has enabled the
company to encourage all
stakeholders to speak up when
the thing goes wrong.
 None of the non-executive
officers are present on the
advisory panel; rather, the
executive members and the team
are given the accountability to
identify the loopholes through
direct communication with the
stakeholders.

4
Current board structure and model
Changes
Board structure has been
changed. After 10 years of
successful performance,
Elizabeth Bryan retired in
the Annual General
Meeting 2016.
In the FY 2017, new CEO
Nerida Caesar was
appointed to the Board. In
addition, Robert Elstone
also retired from the
Board in the FY 2017.

5
Current board structure and model
Consequences
Such changes have
resulted higher revenue
and income.
Cash earnings have risen
by 2%
Cost to income ratio
became 42.2% in FY 2017
Earnings per share
increased by 2%
Liquidity and funding
position got improved
Overall loan grew by 3%

6
Current board structure and model
Insights
 The Director and Executive
committee closely cooperate
with the advisory board and
chairman to develop the
business strategy and potential
planning to meet future goals.
 Boo and Sharma (2008) are of
the opinion that a steady flow
of information between these
entities identifies the actual
gap between the risk
management and business
growth areas against the
initial set plans.