Board of Directors
Performance Evaluation of the Board of Directors
According to "Rules for Performance Evaluation of the Board of Directors", the performance of the Board will be reviewed and evaluated every year in December.
The evaluation items include the overall function of the Board and individual director self-evaluation.
Evaluation of the overall Board performance shall address following five areas:
- Participation in the operations of the Company
- Enhancement of Board decision quality
- Board composition and structure
- Selection of Board members and continuing education of directors
- Internal control
Evaluation of individual directors shall address following six areas:
- Alignment with the objectives and mission of the Company
- Competencies of the directors
- Participation in the operations of the Company
- Relationships and communication with other personnel within the Company
- Director expertise and continuing education
- Internal control
Besides, Hotai will appoint an external independent institution or an expert to carry out the board performance evaluation once every three years, starting from 2016. The measurement indicators, evaluation procedures, achievement standards, and evaluation results will be formulated by the external independent institution. The evaluation results will be reported to the Board of Directors for reference.