Our sustainability governance structure
A robust governance structure is the foundational building block for our Sustainability Strategy. The structure describes how sustainability matters are governed and managed across the Board, Board Committees, Management and functional groups at OCBC, as well as their respective roles and responsibilities.
Board of Directors
The Board provides oversight for the overall sustainability agenda and strategy at OCBC and is supported by the Board Sustainability Committee. The Board determines the material Environmental, Social and Governance (ESG) factors and considers sustainability issues as part of the Bank's business and strategy. This includes providing oversight of the effective management and monitoring of our material ESG factors, as well as opportunities and risks associated with sustainability issues such as climate and environmental matters. The Board has ultimate responsibility for the Bank’s Sustainability Report.
Sustainability Council
Chaired by the Group Chief Executive Officer, the Sustainability Council comprises members of senior management and is supported by the Sustainability Working Group and Climate Strategy Workstreams. The Council oversees and approves the Group’s Sustainability Strategy and climate strategy, providing approval for key strategic initiatives relating to sustainability, with a focus on climate and environmental matters. Its responsibilities also include ensuring that the Group’s material ESG factors are monitored on an ongoing basis and properly managed, as well as approving the Bank’s Sustainability Report.
Sustainability Working Group
The Sustainability Working Group (SWG) consists of representatives from the Bank’s various business units. The SWG supports the development of the Bank’s Sustainability Report, and proposes key performance indicators and targets for the ESG factors to be approved by the Sustainability Council annually.
Climate Strategy Workstreams
The Climate Strategy Workstreams drive our 5-year climate strategy, which focuses on three priorities: achieving net-zero emissions in alignment with Paris Agreement goals, enabling low-carbon transition through sustainable financing, sustainability-themed products and partnerships, and managing risks associated with climate change effectively.
The Board takes ultimate responsibility for all aspects of sustainability at OCBC, including sustainability reporting and Management’s preparation of the Sustainability Report. To support the Board in its oversight of the Bank’s Environmental, Social and Governance (ESG) issues, the Board Sustainability Committee was established on 7 February 2023.
The Board is also supported by the Board Risk Management Committee which has oversight of the effective management of all risks that face the business, including ESG risks such as climate change. The management of ESG risks is described in our Responsible Financing frameworks, which are reviewed and approved regularly by our Board Risk Management Committee.(1)
To keep abreast of current and emerging sustainability issues, all members of the Board have attended sustainability training.(2) Beyond that, the Bank provides capacity building and training in sustainability-related topics across all levels of the organisation.
OCBC regularly reviews the governance structure in relation to sustainability and ESG matters, including climate-related risks and opportunities to achieve long-term sustainable growth.
(1) For more details on the Board Risk Management Committee, please refer to our Annual Report.
(2) For more details on the Board’s training, please refer to our Annual Report.