Corporate Governance Scorecard 2020
| COMPONENT | GOCC SUBMISSION | |||
|---|---|---|---|---|
| GRP | ITEM | QUESTION | CITEM COMPLIANCE | REFERENCE LINK/SUPPORTING DOCUMENTS |
| I. Stakeholder Relationship | ||||
| I | 1.a | Does the GOCC disclose a policy that: Stipulates the existence and scope of its effort to address customer's welfare? | YES Section 52 of the CITEM's Manual of Corporate Governance (Recognizing the Stakeholders and Nature of their Interests) identified its various stakeholders as follows:
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CITEM Manual of Corporate Governance, Section 52 and 55, page 15 https://citem.com.ph/transparency-seal/Corporate-Governance/Manual-of-Corproate-Governance.pdf#page=15 |
| I | 1.b | Does the GOCC disclose a policy that: Elaborates its efforts to interact with the communities in which they operate? | YES CITEM's policy on interacting with the communities around it can be found in the following sections of CITEM's Manual of Corporate Governance:
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Revised Manual of Corporate Governance, Section 47 and 49, page 14 https://citem.com.ph/transparency-seal/Corporate-Governance/Manual-of-Corproate-Governance.pdf#page=14 |
| I | 1.c | Does the GOCC disclose a policy that: Ensure that its value chain is environmentally friendly or is consistent with promoting sustainable development? | YES Section 48, Environment, of the CITEM's Manual of Corporate Governance under 'Corporate Social Responsibility' stated that in the course of the operations of CITEM, it should identify opportunities to reduce consumption of energy, water and other natural resources. CITEM should also strive to re-use and recycle where possible and dispose of non-recyclable items responsibly, thereby minimizing our impact on the environment, in doing so, by adopting simple, environmentally friendly initiatives, CITEM will raise awareness among the community. |
CITEM Manual of Corporate Governance, Section 48, page 14. https://citem.com.ph/transparency-seal/Corporate-Governance/Manual-of-Corproate-Governance.pdf#page=14 |
| I | 2.a | Does the GOCC disclose the activities that it has undertaken to implement the abovementioned policies? (Customer health and safety) |
YES |
CITEM Annual Report 2020, page 5 CITEM Annual Report 2020, page 30 CITEM Workplace Preparedness Advisory, page 1 |
| I | 2.b | Does the GOCC disclose the activities that it has undertaken to implement the abovementioned policies? (Interaction with the communities) | YES CITEM gave back to those who are struck by calamities in 2020. The Agency extended financial assistance to MSMEs in Cagayan and Albay who were affected by Typhoon Ulysses and Rolly last November 2020. The affected MSMEs are homeworker communities from the Home, Lifestyle, and Food Sectors that produce or manufacture exportable products, or who are integral in the supply chain for export companies. Details of this and other CSR activities are available on the agency’s website and Annual Report 2020. |
CITEM CSR Activities CY 2020 CITEM Annual Report 2020, page 31 |
| I | 2.c | Does the GOCC disclose the activities that it has undertaken to implement the abovementioned policies? (Environmentally-friendly value chain) |
YES |
CITEM Annual Report 2020, page 21 of 41 https://citem.com.ph/transparency-seal/2021/september/28/CITEM-ANNUAL-REPORT-2020.pdf#page=21 |
| I | 3 | Does the GOCC have a separate corporate social responsibility (CSR) report/section or sustainability report/section? |
YES CITEM gave back to those who are struck by calamities in 2020. The Agency extended financial assistance to MSMEs in Cagayan and Albay who were affected by Typhoon Ulysses and Rolly last November 2020. The affected MSMEs are homeworker communities from the Home, Lifestyle, and Food Sectors that produce or manufacture exportable products, or who are integral in the supply chain for export companies. Details of the above and other activities are available in the agency’s website and Annual Report 2020. |
CITEM Annual Report 2020, page 31 of 41 CITEM CSR Activities CY 2020 |
| I | 4 | Where stakeholder interests are protected by law, stakeholders should have the opportunity to obtain effective redress for violation of their rights. Does the GOCC provide contact details via the company's website or Annual Report which stakeholders (e.g. customers, suppliers, general public etc.) can use to voice their concerns and/or complaints for possible violation of their rights? | YES CITEM has contact details dedicated for complaints/concerns: CITEM-Citizen-Charter.pdf, p. 173 Feedback and Redress Mechanisms To promote transparency and constant improvement, CITEM encourages stakeholders to express their feedback, concerns, complaints, and suggestions, as indicated in the Citizen’s Charter at CITEM’s official website:
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CITEM-Citizen-Charter, p. 173 https://citem.com.ph/transparency-seal/CITEM-Citizen-Charter.pdf#page=173 |
| I | 5.a | Performance-enhancing mechanisms for employee participation should be permitted to develop. Does the GOCC explicitly mention the health, safety and welfare policy for its employees? | YES CITEM's policy on employee health, welfare, and safety is available in the following:
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Employee-Handbook, pages 16-17 https://citem.com.ph/transparency-seal/Corporate-Governance/Employee-Handbook.pdf#page=16 CITEM Manual of Corporate Governance, VII. Section 40. Health and Safety, p.13 http://citem.com.ph/transparency-seal/revised-manual.pdf#page=13 |
| I | 5.b | Does the GOCC publish data relating to health, safety and welfare of its employees? | YES CITEM implemented several programs related to the health, safety, and welfare of its employees which are available in the following documents:
|
Wellness Program CY 2020 CITEM Annual Report 2020, pages 32 of 41 |
| I | 5.c | Does the GOCC have training and development programmes for its employees? | YES CITEM has a list of Training Programs attended by CITEM Employees in 2020. The list includes objectives/brief description of the training programs. |
Training Programs CY 2020 |
| I | 5.d | Does the GOCC publish data on training and development programms for its employees? | YES Data on training and development programs for CITEM employees are available in CITEM Annual Report as well as in the document 'Training Programs CY 2020'. Data includes training/program title, the number of participants per program, average hours per training held, and sex-disaggregated data. |
Training Programs CY 2020 CITEM Annual Report 2020, pages 35-36 |
| I | 6.a | Stakeholders including individual employee and their representative bodies, should be able to freely communicate their concerns about illegal or unethical practices to the board and their rights should not be compromised for doing this. Does the GOCC have procedures for complaints by employees concerning illegal (including corruption) and unethical behavior? | YES CITEM has a Whistleblowing Policy which encourages each employee to speak up when there is an issue or concerns that affects work or accomplishments. Under the said policy, it shall treat all reports, including the identity of the whistleblower/person concerned and the respondent, in a confidential and sensitive manner. Each issue or report will be handled or investigated promptly, consistently, and appropriately. The company will observe due process where the respondent will be given the chance to hear and explain his/her side within 15 days from receipt thereof. Personnel who initiate a report may be updated on the actions taken, to the extent allowed by law. CITEM's Whistleblowing Policy also states that Retaliation actions against a whistleblower or any personnel for any report will be taken cognizance of by the CITEM Integrity Monitoring Committee if the report is made in good faith, and the GCG shall extend all possible assistance to the whistleblower under the law and given the circumstances. Said policy is also incorporated and part of the existing CITEM Employees Manual/Handbook as well as included in CITEM’s Annual Report 2020. |
Whistle-blowing-policy CITEM 2020 Annual Report, page 33 of 41 |
| I | 6.b | Does the GOCC have procedures to protect an employee/person who reveals illegal/unethical behavior from retaliation? | YES CITEM has a Whistleblowing Policy which encourages each employee to speak up when there is an issue or concerns that affects work or accomplishments.Under the said policy, It shall treat all reports, including the identity of the whistleblower/person concerned and the respondent, in a confidential and sensitive manner. Each issue or report will be handled or investigated promptly, consistently, and appropriately. The company will observe due process where the respondent will be given the chance to hear and explain his/her side within 15 days from receipt thereof. Personnel who initiate a report may be updated on the actions taken, to the extent allowed by law. CITEM's Whistleblowing Policy also states that Retaliation actions against a whistleblower or any personnel for any report will be taken cognizance of by the CITEM Integrity Monitoring Committee if the report is made in good faith, and the GCG shall extend all possible assistance to the whistleblower under the law and given the circumstances." Said policy is also incorporated and part of the existing CITEM Employees Manual/Handbook as well as included in CITEM’s Annual Report 2020. |
Whistle-blowing-policy CITEM 2020 Annual Report, page 33 of 41 |
| II. Disclosure and Transparency | ||||
| II | 7.a | Does the GOCC's website disclose the following items: Corporate objectives | YES CITEM's corporate objectives are available on CITEM website as well as on page 3 of CITEM's 2020 Performance Scorecard - CITEM 2020 Charter Statement and Strategy Map. |
CITEM Website 2020 Performance Scorecard Strategy Map, page 3 |
| II | 7.b | Does the GOCC's website disclose the following items: Financial performance indicators | YES CITEM's Financial performance indicators are included in the 2020 Annual and Audited Annual Financial Reports. Likewise, the agency's financial strategic measures are available on page 4 of CITEM's 2020 Performance Scorecard (SM1 - CRR; SM2- Budget Utilization Rate) |
2020 Performance Scorecard Strategy Map, page 4 CITEM Annual Report 2020, pages 9-10 and 37 |
| II | 7.c | Does the GOCC's website disclose the following items: Non-financial performance indicators | YES CITEM's non- financial performance indicators are included in the 2020 annual report. Likewise, the agency's non-financial strategic measures are available on pages 4-6 of CITEM's 2020 Performance Scorecard |
2020-Performance-Scorecard-Strategy-Map.pdf, page 4-6 https://citem.com.ph/transparency-seal/Corporate-Governance/2020-Performance-Scorecard-Strategy-Map.pdf#page=4 CITEM Annual Report 2020, pages 9, 11-13 https://citem.com.ph/transparency-seal/2021/september/28/CITEM-ANNUAL-REPORT-2020.pdf#page=9 |
| II | 7.d | Does the GOCC's website disclose the following items: Details of whistle-blowing policy | YES CITEM has a Whistleblowing Policy which encourages each employee to speak up when there is an issue or concerns that affects work or accomplishments.Under the said policy, It shall treat all reports, including the identity of the whistleblower/person concerned and the respondent, in a confidential and sensitive manner. Each issue or report will be handled or investigated promptly, consistently, and appropriately. The company will observe due process where the respondent will be given the chance to hear and explain his/her side within 15 days from receipt thereof. Personnel who initiate a report may be updated on the actions taken, to the extent allowed by law. CITEM's Whistleblowing Policy also states that Retaliation actions against a whistleblower or any personnel for any report will be taken cognizance of by the CITEM Integrity Monitoring Committee if the report is made in good faith, and the GCG shall extend all possible assistance to the whistleblower under the law and given the circumstances." Said policy is also incorporated and part of the existing CITEM Employees Manual/Handbook as well as included in CITEM’s Annual Report 2020. |
CITEM Whistleblowing Policy CITEM Employees Handbook/Manual, page 9 CITEM 2020 Annual Report, page 33 of 41 |
| II | 7.e | Does the GOCC's website disclose the following items: Biographical details (at least age, qualifications, date of first appointment, relevant experience, and any other directorships of listed companies) of directors/commissioners | Biographical Details of the CITEM Board of Governors are available in the following:
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CITEM Board of Governors-Executive Profile CITEM Annual Report 2020, pages 38-39 of 41 |
| II | 7.f | Does the GOCC's website disclose the following items: Training and/or continuing education programme attended by each director/commissioner | YES CITEM's Appointive Director, Ms Pauline Suaco-Juan attended a training in FY 2020. Details are available on CITEM website as well as in CITEM Annual Report 2020. |
CITEM BOG Trainings 2020 CITEM Annual Report 2020, page 39 of 41 |
| II | 8 | Are the annual reports downloadable from the GOCC's website? | YES CITEM's 2020 Annual Reports and Financial Statements are downloadable from the website. |
COA-Audited 2020 Annual Financial Report CITEM Annual Report 2020 |
| II | 9 | Does the GOCC's website contain a statement confirming the company's full compliance with the code of corporate governance and where there is non-compliance, identify and explain reasons for each such issue? | CITEM’s website contains a statement confirming the agency’s full compliance with the Code of Corporate Governance. This is available as well in CITEM Annual Report 2020. |
CITEM Website - Statement of Full Compliance with the Code of Corporate Governance CITEM Annual Report 2020, page 9 of 41 |
| II | 10.a | Are the audited annual financial report/statement uploaded on the website within 60 days upon receipt from COA? | YES COA-Audited 2020 Annual Financial Report Date of Receipt from COA: 23 June 2021 Date Published online: 16 July 2021 |
COA-Audited 2020 Annual Financial Report Date of Receipt from COA: 23 June 2021 Date Published on Line: 16 July 2021 https://citem.gov.ph/corporate-governance https://citem.gov.ph/corporate-governance#:~:text=16%20July%202021,23%20June%202021 |
| II | 10.b | Is the annual report released within 90 days from release of audited financial report? | NO COA-Audited 2020 Annual Financial Report Date of Receipt from COA: 23 June 2021 Annual Report Date Published online: 28 Sept 2021 |
CITEM Website https://citem.gov.ph/corporate-governance#:~:text=September%2028%2C%202021,2020 |
| II | 10.c | Is the true and fairness/fair representation of the annual financial statement/reports affirmed by the board of directors/commissioners and/or the relevant officers of the company? | YES Statement of Management's responsibility for Financial Statement is located on page 21 of the COA-Audited 2020 Financial report |
COA-Audited 2020 Annual Financial Report https://citem.com.ph/transparency-seal/2021/july/16/2020%20AFR.pdf#page=21 |
| III. Responsibilities of the Board | ||||
| III | 11.a | Has the Board of Directors reviewed the vision and mission/ strategy in the last financial year? | YES The Board of Directors reviewed the CITEM Vision and Mission/strategy for the FY 2020. Reference:
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28 Nov 2019 Minutes of the Meeting stated in page 5 lines 261-263 https://citem.com.ph/transparency-seal/2021/september/28/28%20Nov.%202019_Minutes%20of%20the%20Meeting.pdf |
| III | 11.b | Does the Board of Directors monitor/oversee the implementation of the corporate strategy? | YES As a matter of policy in the Section 14 of CITEM's Manual of Corporate Governance, the Board oversees the implementation of the corporate strategy. This is also exhibited by the CITEM 2020 Strategy Map approved by the Board. References:
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CITEM 2020 Strategy Map https://citem.com.ph/transparency-seal/2020_PES_Performance_Scorecard_and_Strategy_Map.pdf Sec.14 of the Revised Manual of Corporate Governance https://citem.com.ph/transparency-seal/Corporate-Governance/Manual-of-Corproate-Governance.pdf#page=4 Website: Statement of the Role of the Board in Corporate Strategy https://citem.gov.ph/corporate-governance#:~:text=Role%20of%20the,Corporate%20Operating%20Budget |
| III | 12 | Did the GOCC achieve 90% in the PES? | CITEM's 2020 Performance Scorecard is still under evaluation of GCG | N/A |
| III | 13.a | Are the details of the code of ethics or conduct disclosed? | YES The details of the Code of Conduct and Ethical Standards are stated in Sections 1-12. References:
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Section 1 of Code of Conduct and Ethical Standards of CITEM Officials and Employees https://citem.com.ph/transparency-seal/Corporate-Governance/Code-Of-Conduct.pdf |
| III | 13.b | Does the GOCC disclose that all Directors/Commissioners, senior management and employees are required to comply with the code? | YES As stated in the Section 1 of Code of Conduct and Ethical Standards of CITEM Officials and Employees, the board directors, the management, and the employees of CITEM should comply with the code. References:
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CITEM Code of Conduct
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| III | 13.c | Does the company disclose how it implements and monitors compliance with the code of ethics or conduct? | YES CITEM discloses the process, implementation, and the monitoring of compliance as stated in the CITEM Code of Conduct and the New Employee Orientation Report. The CITEM Code of conduct is readily available in the company intranet. References:
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CITEM Code of Conduct https://citem.com.ph/transparency-seal/Corporate-Governance/Code-Of-Conduct.pdf CITEM 2020 New Employees Orientation (NEO) Report https://citem.com.ph/transparency-seal/2021/september/28b/New%20Employee%20Orientation%202020%20Report.pdf |
| III | 14 | Does the Board appoint a Nomination Compensation / Remuneration Committee? | YES The members of the Governance and Nomination and Remuneration Committee are the following:
References:
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CITEM Website: Corporate Governance https://citem.gov.ph/corporate-governance#:~:text=Governance%20and%20Nomination%20and%20Remuneration%20Committee%20Members,CITEM Committees in the CITEM Board, Functions and Appraisal https://citem.com.ph/transparency-seal/2021/september/28b/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28b/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance%281%29.pdf Secretary's Certificate Board Committees Nomination https://citem.com.ph/transparency-seal/2021/september/28b/Sec%20Cert_board%20committees%20nomination%281%29.pdf |
| III | 15 | Did the Nomination Compensation/Remuneration Committee meet at least twice during the year? | YES The governance and nomination and remuneration committee met more than the required meetings for year 2020. References: Board Meeting Policy, Scheduled and Actual meeting and attendance |
Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28b/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance%281%29.pdf |
| III | 16 | If yes, is the report of the Nomination Compensation/Remuneration Committee publicly disclosed? | YES The Summary of the actions of Governance and Nomination and Remuneration Committee is publicly disclosed. References:
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CITEM Board Committees Accomplishment Report CY2020 https://citem.com.ph/transparency-seal/2021/september/28b/CITEM%20Board%20Committee%20Accomplishment%20Report%20CY2020%281%29.pdf |
| III | 17 | Does the Board appoint an Audit Committee? | YES The members of the Audit and Risk Management Committee are the following:
References:
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CITEM Website: Corporate Governance https://citem.gov.ph/corporate-governance#:~:text=Governance%20and%20Nomination%20and%20Remuneration%20Committee%20Members,CITEM Committees in the CITEM Board, Functions and Appraisal https://citem.com.ph/transparency-seal/2021/september/28b/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28b/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance%281%29.pdf Secretary's Certificate Board Committees Nomination https://citem.com.ph/transparency-seal/2021/september/28b/Sec%20Cert_board%20committees%20nomination%281%29.pdf |
| III | 18 | If yes, is the report of the Audit Committee publicly disclosed? | YES The Summary of the actions of Risk and Audit Management Committee is publicly disclosed. References:
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CITEM Board Committee Accomplishment Report CY2020 https://citem.com.ph/transparency-seal/2021/september/28b/CITEM%20Board%20Committee%20Accomplishment%20Report%20CY2020%281%29.pdf |
| III | 19 | Does at least one member of the Audit Committee have an audit, accounting or finance background (qualification or experience)? | YES Mr. Thomas Benjamin Marcelo has an educational background in economics and economic development. He has experience as a Senior Advisor to IMF, and International Relations Department of Bangko Sentral ng Pilipinas. References: CITEM Board of Governors Executive Profile |
CITEM Board of Governors Executive Profile https://citem.com.ph/transparency-seal/2021/april/22/BOG-Executive%20Profile.pdf#page=11 |
| III | 20 | Did the Audit Committee meet at least four times during the year? | YES The Risk and Audit Management Committee held five (5) meetings for 2020. References:
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Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28b/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance%281%29.pdf |
| III | 21 | Does the Board appoint a Risk Management Committee? | YES The member of the Audit and Risk Management Committee are the ff:
References:
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CITEM Website: Corporate Governance https://citem.gov.ph/corporate-governance#:~:text=Governance%20and%20Nomination%20and%20Remuneration%20Committee%20Members,CITEM Committees in the CITEM Board, Functions and Appraisal https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance.pdf Secretary's Certificate Board Committees Nomination https://citem.com.ph/transparency-seal/2021/september/28d/Sec%20Cert_board%20committees%20nomination.pdf |
| III | 22 | If yes, is the report on Risk Management Committee publicly disclosed? | YES The Summary of the actions of Risk and Audit Management Committee is publicly disclosed. References:
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CITEM Board Committee Accomplishment Report CY2020 https://citem.com.ph/transparency-seal/2021/september/28d/CITEM%20Board%20Committee%20Accomplishment%20Report%20CY2020.pdf |
| III | 23 | Does at least one member of the Risk Management Committee have a background in finance and investments? | YES Mr. Thomas Benjamin Marcelo has an educational background in economics and economic development. He has experience as a Senior Advisor to IMF, and International Relations Department of Bangko Sentral ng Pilipinas. References: CITEM Board of Governors Executive Profile |
CITEM Board of Governors Executive Profile https://citem.com.ph/transparency-seal/2021/april/22/BOG-Executive%20Profile.pdf#page=11 |
| III | 24.a | Are the Board of Directors meetings scheduled at the beginning of the year? (end of Q1) | YES The schedule of the Board Meetings is stated at the beginning of the year in the CITEM Board of Governors Regular Board Meetings & Policy. References:
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Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance.pdf |
| III | 24.b | Does the Board of Directors meet at least monthly? | NOT APPLICABLE Be held on a quarterly basis or four (4) times a year. Nonetheless, Board meet more than four times in 2020 as shown in the attendance. Reference:
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Sec. 3 of the Rules of Conduct of CITEM Board of Governors Meeting https://citem.com.ph/transparency-seal/2021/september/28d/Rules%20of%20Conduct%20of%20CITEM%20Board%20of%20Governors%20Meeting.pdf Committees in the CITEM Board, Functions and Appraisal https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf |
| III | 24.c | Did the Board of Directors meet on at least 75% on their scheduled meetings? | YES CITEM held the Board Meetings at least 75% of the scheduled meetings for 2020. The reference document shows the actual meetings held and the date of the scheduled meetings. Reference: Board Meeting Policy, Scheduled and Actual meeting and attendance |
Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance.pdf |
| III | 24.d | Has each of the directors/commissioners attended at least 90% of all the board meetings held during the year? | YES Each of the directors/commissioners attended at least 90% of all board meetings held in 2020. Reference: CITEM 2020 Policy, Schedule, and Actual Meeting with Attendance |
Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance.pdf |
| III | 24.e | Did the Board of Directors meet separately at least once during the year without the President/CEO present? | YES CITEM held a separate meeting without the President/CEO on 17 January 2020 pursuant to GCG Memorandum Circular 2012-07. References:
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Board Meeting Policy, Scheduled and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance.pdf CITEM 17 January 2020 Minutes of the Meeting without the CEO https://citem.com.ph/transparency-seal/2021/september/28d/Minutes%20of%20the%20Meeting%20Without%20CEO%2017%20Jan%202020.pdf |
| III | 25.a | Does the GOCC have a policy that stipulates board papers for Board of Directors/Commissioners meetings be provided to the Board at least three (3) working days in advance of the board meeting? | YES CITEM Board must be provided with board papers for the upcoming meeting at least 3 working days in advance as indicated under the CITEM Board of Governors Regular Board Meetings' policy. References:
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Sec. 6 (b) of the Rules on the Conduct of CITEM Board of Governors Meeting https://citem.com.ph/transparency-seal/2021/september/28d/Rules%20of%20Conduct%20of%20CITEM%20Board%20of%20Governors%20Meeting.pdf Board Meeting Policy, Schedules and Actual Meetings, and Attendance https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Meeting%20Policy%2C%20Schedules%20and%20Actual%20Meeting%20and%20attendance.pdf |
| III | 25.b | Is the Board Secretary trained in legal, accountancy or company secretarial practices? | YES Atty. Anna Grace I. Marpuri is a lawyer. She attended seminars and trainings. (see attached certifications) References:
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CITEM Board Secretary Profile https://citem.com.ph/transparency-seal/2021/september/28d/CITEM%20Board%20Secretary%20Profile.pdf |
| III | 26.a | Does the company have a separate internal audit function? | YES References:
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Website: CITEM Key Officers https://citem.gov.ph/home/key-officers#:~:text=Internal%20Audit%20Service,2201%20local%20207 Office Order of Ms. Karla Grade Dinglasan and Mr. Jaime Antonio Sandoval https://citem.com.ph/transparency-seal/2021/september/28d/Office%20Order%20No%202020141%20-%20Karla%20Dinglasan_Jaime%20Sandoval.pdf DBM Approved CITEM Organizational Chart https://citem.com.ph/transparency-seal/2021/september/28d/DBM%20Approved%20Org%20Chart.pdf |
| III | 26.b | Does the appointment and removal of the internal auditor require the recommendation of the Audit Committee? | YES As stated in page 2 (no. 5) of the Functions of the Risk and Audit Committee, it is explicitly stated that the Risk and Audit Management Committee has the power to recommend an internal audit. The committee has the function to appoint/ remove an internal auditor References:
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Committee in the CITEM Board and appraisal -Functions of the Risk and Audit Committee https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf |
| III | 27.a | Does the company disclose the internal control procedures/risk management systems it has in place? | YES References:
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CITEM Risk Management System CITEM Annual Report 2020, Risk Assessment, page 32 of 41 |
| III | 27.b | Does the Annual Report disclose that the board of directors/commissioners has conducted a review of the company's material controls (including operational, financial and compliance controls) and risk management systems? | YES CITEM’s Annual Report 2020 disclosed that the board of directors has conducted a review of the company's material controls |
CITEM Annual Report 2020, page 33 of 41 https://citem.com.ph/transparency-seal/2021/september/28/CITEM-ANNUAL-REPORT-2020.pdf#page=33 |
| III | 27.c | Does the company disclose how key risks are managed? | YES References:
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CITEM Risk Management System CITEM Annual Report 2020, page 33 of 41 |
| III | 27.d | Does the Annual Report contain a statement from the Board of Directors or Audit Committee commenting on the adequacy of the GOCC's internal controls/risk management systems? | YES CITEM’s Annual Report 2020 contains a statement from the Board of Governors on the adequacy of the agency’s internal controls/risk management system |
CITEM Annual Report 2020, page 33 of 41 |
| III | 28 | Do different persons assume the roles of Chairman and CEO? | YES Hon. Ramon M. Lopez is the chairman while the Alternate Chairman is Hon. Abdulgani M. Macatoman and the CEO for CITEM is ED Paulina Suaco-Juan. As stated in EO 989, the DTI is the chairman of the Board., while the appointive member representing the private sector is occupied by the CITEM Executive Director. References:
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Website: CITEM Key Officers https://citem.gov.ph/home/key-officers Sec.3 of Executive Order 989 of the Ministry of the Trade and Industry https://www.citem.com.ph/downloads/EO_989.pdf#page=2 Board Paper – Appointment as ED and Appointive member to the CITEM Board with Secretary’s Certificate https://citem.com.ph/transparency-seal/2021/september/28d/Board%20Paper-Appointment%20as%20ED%20and%20Appointive%20member%20to%20the%20CITEM%20Board%20with%20Sec%20cert.pdf |
| III | 29.a | Does the GOCC have orientation programs for new Directors? | YES References:
|
Website: Orientation for New Board Members https://citem.gov.ph/corporate-governance#:~:text=Orientation%20for%20New,activities%20and%20operations.%C2%A0%C2%A0 Sec. 66 of the Manual of Corporate Governance https://citem.com.ph/transparency-seal/Corporate-Governance/Manual-of-Corproate-Governance.pdf#page=17 |
| III | 29.b | Does the GOCC have a policy that encourages Directors/Commissioners to attend on-going or continuous professional education programs? | YES CITEM has a policy that encourages directors/commissioners to attend educational programs and CITEM allocated budget for the Board of Governors' trainings. References:
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Sec. 66 of the Manual of Corporate Governance https://citem.com.ph/transparency-seal/Corporate-Governance/Manual-of-Corproate-Governance.pdf#page=17 HRD Budget 2020 - BOG Allocation Trainings and Programs https://citem.com.ph/transparency-seal/2021/september/28d/HRD%20Budget%202020-BOG%20allocation%20trainings%20and%20program.pdf CITEM BOG Trainings 2020 and ICD Certificates https://citem.com.ph/transparency-seal/2021/september/28d/CITEM%20BOG%20Trainings%202020%20and%20Certificates.pdf |
| III | 29.c | Did all Appointive Directors attend at least 1 training for the calendar year? | YES Ms. Paulina Suaco-Juan is the only Appointive Director of CITEM. She attended a training seminar as evidenced by the link. References:
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CITEM 2020 Board of Governor's Training Program CITEM Annual Report 2020, page 39 of 41 |
| III | 30.a | Is an annual performance assessment conducted of the Board of Directors? | YES References:
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Board Committees in the Board and Appraisal https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf |
| III | 30.b | Does the GOCC disclose the process followed in conducting the Board assessment? | YES The Board of Directors conducts an annual assessment of its performance through GCG’s Performance Evaluation for Directors (iPED) System following the criteria set under GGC Memorandum Circular 2014-03. References:
|
Website: Board Appraisal System/ Annual Performance Assessment https://citem.gov.ph/corporate-governance#:~:text=Board%20Appraisal%20System%20/%20Annual%20Performance%20Assessment Section 26 of the Revised Manual of Corporate Governance https://citem.com.ph/transparency-seal/revised-manual.pdf#page=9 Board Committees in the Board and Appraisal https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf |
| III | 30.c | Does the GOCC disclose the criteria used in the Board assessment? | YES CITEM stated the criteria for Board Appraisal. The criteria for assessing the performance of the company is based in the following 5 matrix: Financial, Governance, Performance, Process and Management. References:
|
Board Committees in the Board and Appraisal https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf |
| III | 31 | Is an annual performance assessment conducted of the Board of Directors Committees? | YES CITEM conducted an annual performance assessment of the Board Committees. References:
|
Board Committees in the Board and Appraisal https://citem.com.ph/transparency-seal/2021/september/28d/COMMITTEES%20IN%20THE%20CITEM%20BOARD%20and%20appraisal.pdf |
| IV. Bonus | ||||
| IV | 1 Stakeholder Relationship | Does the GOCC practice Global Reporting Index (GRI) on its annual reports? | NO | |
| IV | 2 Timely release of annual financial report | Is the audited annual financial report/statement released within 30 days upon receipt from COA? | YES COA-Audited 2020 Annual Financial Report Date of Receipt from COA: 23 June 2021 Date Published on Line: 16 July 2021 |
COA-Audited 2020 Annual Financial Report https://citem.gov.ph/corporate-governance https://citem.gov.ph/corporate-governance#:~:text=16%20July%202021,23%20June%202021 |
| V. Penalty | ||||
| V | 1 Responsibilities of the Board | Are there members of the Board of Directors who hold more than five (5) positions in GOCCs and PLCs? | NO All of the Board members did not exceed 5 positions in other GOCC and PLCs. Reference: BOG's positions and designation |
https://citem.com.ph/transparency-seal/2021/september/28d/BOARD%20OF%20DIRECTORS_DESIGNATION.pdf |
| V | 2 Responsibilities of the Board | Is there non-compliance with Good Governance Conditions? | NO CITEM is not included in the initial list of non-compliant GOCCS covered by RA 10149 as per the report uploaded in the Development Academy of the Philippines website |
Development Academy of the Philippines – Initial List of Non-Compliant GOCCs covered by RA 10149 https://rbpms.dap.edu.ph/news/initial-list-of-non-compliant-goccs-covered-by-ra-10149-on-good-governance-conditions-procurement-requirements-and-common-sto-and-gass-indicators-for-fy-2020-pbb/ |
