ECONOMY

BUSINESS: 333 PRACTICES


TOPIC:

Initiative

Corporate Governance

Corporate Governance
SUBMITTED FROM:

LAMDA DEVELOPMENT

Lamda Development is the undisputed leader in the shopping centres management sector (The Mall Athens, Golden Hall, Mediterranean Cosmos). Its assets portfolio also includes office spaces, residential developments, as well as the Flisvos Marina. Lamda Development has undertaken the integrated metropolitan redevelopment of the area of the former ‘Hellinikon’ airport, which will be the largest private investment in Greece and the largest urban redevelopment project in Europe.

https://www.lamdadev.com/en/, https://theellinikon.com.gr/en/homepage/



Objective Action

The principles governing corporate governance are considered by the Management of Lamda Development to be necessary both for the control of the decisions and actions of the Management, as well as for the protection of the interests of the company's shareholders and the wider society.

Lamda Development's Corporate Governance Code functions as a best practice and compliance tool with applicable legislation, promoting and improving transparency in order to add value and ultimately enhance the Company's competitiveness. The content of the Code is reviewed at regular intervals and updated according to the new data, so that it always remains up-to-date and meets the needs of each time.

 

Target Audience

Lamda Development is a business organization that communicates and interacts systematically with its interested parties, which belong either to the internal or to the external environment of the Company. In this context, the Corporate Governance model followed by the Company has as key stakeholders the partners and those bodies that have a direct impact or effect on the long-term, sustainable course and operation of the company, but are also affected by it. Specifically:

  • Employees: They are interested in the financial performance of the Company, in the existence of a fair operating framework, in their training and development, in ensuring their health and safety, in providing equal opportunities and in avoiding discrimination
  • Shareholders: Interested in the Company's financial performance, environmental and socio-economic compliance, as well as environmental, social and governance (ESG) performance
  • Financial institutions (Banks, Analysts, Stock Exchange): They are interested in the Company's financial performance, environmental and socio-economic compliance, but also in environmental, social and governance (ESG) performance.
 

Duration

From the establishment of the company until today


Description


Lamda Development bases its operation on a modern and effective governance model which supports its efficient and sustainable operation.

In this context, the Company's governance model has been structured to adopt practices to promote transparency and accountability, developing a framework of principles that respond to the dimensions of Sustainable Development, the analysis of opportunities, risks and qualitative/quantitative objectives for the main her activities. At the same time, practices for developing a dialogue (Stakeholder Dialogue) with all of its interested parties (Stakeholders & Shareholders) are implemented, as well as rules and procedures for the implementation of a Sustainable Development strategy and its connection with the essential issues of the Organization.

Based on the above, various committees have been set up, which are manned by the senior executives of the Company.

Specifically:

Audit Committee: The Audit Committee aims to assist the Company's Board of Directors in its duties regarding financial information, internal control and regular audit supervision. It is the means of communication for the Board of Directors, the Internal Auditor, the statutory auditors and the company's managers in terms of accounting and financial statements, management information reports, corporate governance, risk management and the internal control system.

Remuneration and Nomination Committee: The Remuneration and Nomination Committee aims to assist the Board of Directors, with regard to the general principles governing the management of the Company's human resources, in particular the policy of remuneration, benefits and incentives for its executive members of the Board of Directors, the executives and the employees, of the company, according to the conditions of the market and the economy in general.

Internal Audit Service: Lamda Development's internal audit is an independent, objective, and advisory function, which adds value to the organization's internal audit system and processes. It helps achieve objectives by applying a systematic and disciplined approach to evaluating and improving the effectiveness, risk management, control mechanisms and corporate governance functions.

Risk Management Committee: The purpose of the Risk Management Committee is to analyze, evaluate and manage all risks associated with the Company's business activity in Greece and abroad. The Committee formulates proposals, which it recommends to the Board of Directors.

At the same time, the Company applies a series of regulations and policies that ensure its smooth operation and determine the rights and obligations of employees:

  • Internal Regulation of Operation
  • Regulation on Personnel Matters and other Administrative Matters Office Operating
  • Procedures Privacy Policy
  • Conflict of Interest Policy
  • Procurement Policy
  • Anti-Corruption Policy
  • Internal Job Announcement Policy
  • Code of Ethics

Finally, in the context of determining the essential issues related to its governance and operation, Lamda Development implemented a qualitative survey of representatives of its interested parties in order to examine all important issues related to Corporate Responsibility, as well as to systematize the dialogue with them on these matters. The methodology followed is described below:

  • Step 1 Identify and prioritize the main stakeholders to be involved in the process of finding the essential issues
  • Step 2 Identification and prioritization of key indicators (economic, environmental, social, labor practices, human rights, responsible services, etc.), using the Global Reporting Initiative (GRI) guidelines
  • Step 3 Conduct research, through a qualitative questionnaire to determine the essential issues according to the opinion of the interested parties and the Administration.
  • Step 4 Create a matrix that identifies the essential issues.

According to the results of the research, the following are judged to be essential issues

  • Health and safety of customers/visitors
  • Environmental compliance
  • Fight against corruption
  • Privacy
  • Employee social benefits
  • Indirect economic effects
  • Diversity and non-discrimination
  • Worker health and safety
  • Education and training of employees
  • Safety practices
  • Waste management
  • Energy consumption
  • Water consumption
     

more...

Impact on Society

Through the corporate governance model applied, Lamda Development has managed to integrate full transparency into its operations, fair treatment of shareholders, strengthening of intra-company dialogue with employees, recognition of the important issues that concern its stakeholders and ultimately an increase in competitiveness , and creating long-term value for its shareholders. At the same time, implementing a modern governance system, the Administration promotes and adopts a system of values and behaviors, with the ultimate goal of long-term and sustainable development, based on trust, honesty and continuous dialogue



Initiative Location


Lamda Development's corporate governance model is applied in all areas of the country where the Company maintains activity (The Mall Athens, Golden Hall, Mediterranean Cosmos, Marina Flisvos, Offices in Maroussi and Elliniko).
 


More...…

Working with Organization


Workers Participation


Benefits for Οrganization

Through the adopted corporate governance model, the company has managed to:

  • More efficient and transparent decision-making process
  • Strengthening the confidence of the investing public
  • Implementation of an effective internal control system
  • Elimination of irregularities and cases of corruption
  • Better monitoring and risk management
  • Strengthening the company's reputation
  • Enhancing company performance and ultimately shareholder benefit



Connection with Global Goals







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