Governance and assurance overview

Governance creating and protecting value

The Board contributes to strategic delivery and value creation by focusing on responsible and ethical leadership to ensure a sustainable business. The Board periodically reviews opportunities and threats it believes could have the most significant impact on the Group's ability to have sustainable value for its stakeholders.

Datatec's view on corporate governance is to approach it as more than just a compliance exercise, but rather, as a tool that contributes to improved operational decision‑making and business performance.

The Board is confident that the improved corporate governance achieved through the Group's governance structures has created value in the form of improved financial performance, a sustainable business model, transparent shareholder relationships and high-reputational integrity.

Board representation and contribution to value creation

Diversity is enshrined in Datatec's Code of Conduct and the Board strongly supports the principle of diversity at Board level as an essential element of good corporate governance.

A diverse Board includes differences in skills, industry experience, cultural background, race, gender and other distinctions between members of the Board. These differences will be considered in determining the optimum composition of the Board and, when possible, will be balanced appropriately. This diversity facilitates an environment for constructive dialogue and enables the Board to consider the needs of a wide range of stakeholder interests.

During the year under review, there were some changes to the composition of the Board committees. The Board is of the view that the most recent changes to the Board committees will result in greater diversity in terms of skills and experience, race, age, gender and culture.

The Board believes that these governance qualities enable the Group to create value for stakeholders in a sustainable manner as described in the strategy section of this report.

Refer to the annual report for more details on diversity at Board level.

The policy on promotion of diversity at Board level is available on the website www.datatec.com.

Datatec combined assurance

A combined assurance framework for monitoring and evaluating the effectiveness of the Group's internal controls is in place throughout the Group. This framework deploys and co-ordinates internal and external assurance providers to report on the effectiveness or otherwise of the internal controls.

A combined assurance model aims to optimise the assurance coverage obtained from management, internal assurance providers and external assurance providers on the risk areas affecting the Group. Within Datatec, there are a number of assurance providers that either directly or indirectly provide the Board and management with certain assurances over the effectiveness of those controls that mitigate the risks as identified during the risk assessment process. Collectively, the activities of these assurance providers are referred to as the combined assurance framework.

For more information on the combined assurance model, refer to the risk report in the annual report.