Section 172 Statement
The directors, in line with their duties under the s172 of the Companies Act 2006, act individually and collectively in the way they consider, in good faith, would be most likely to promote the success of the Group for the benefit of its members, and in doing so have regard, amongst other matters, to the:
- likely consequences of any decision in the long term
- interests of employees
- need to foster business relationships with suppliers, customers and others
- impact of operations on the community and the environment
- desirability of maintaining a reputation for high standards of business conduct.
The above provides the backdrop to all board decisions, the most significant of which are taken at monthly meetings where operational, compliance and strategic matters are considered in detail.
In discharging their duties, the directors are supported by:
- experienced external consultants and advisers that assist in understanding the implications of new and evolving legal and regulatory requirements
- detailed and timely management information concerning all functions across the business including trend analysis and exception reporting and
- a ‘special business’ review framework which consists of subject areas of strategic importance for which dedicated board papers are prepared and specific time allocated for discussion during monthly board meetings.
Stakeholder interests are factored into all decision-making processes with regular engagement ensuring that interests are aligned to optimum effect.
Details of key stakeholders and how we engage with them are set out below:
Our diverse and dedicated workforce is central to our success and employees are consulted on issues affecting all aspects of operations.
All employees are encouraged to provide input into the running of their teams and the wider business, both through 1-2-1 sessions with managers and through operational avenues such as the process improvement system. The latter not only covers our design, production and site processes but also health and safety, where employee feedback is considered an essential part of achieving the highest possible standards.
Training is provided in collaboration with employees and team managers with the objective of ensuring that all employees benefit in a targeted way from the internal and external training resources made available.
Employee welfare is vitally important and we have made significant improvements in the past year, including an enhanced employee assistance programme, free no-obligation employee health checks and the appointment of internal mental health first aiders.
We also actively promote wellbeing through initiatives that promote physical activity and which are accessible to all employees.
Delivering mission-critical facilities to customers in our core data centre and healthcare markets requires careful planning, operational excellence and an ability to deliver every project right first time and on programme.
We work with every customer to involve their internal stakeholders with expertise from across the business in order to provide a product that meets their precise requirements and to ensure that all aspects of the project are communicated clearly in advance. We build on this through regular communication throughout the lifecycle of a project and following handover, actively encouraging feedback as to how we can improve our products and services.
Suppliers and Sub-contractors
The role played by suppliers and sub-contractors is key to the delivery of our leading products and strict procedures are followed in respect of their selection and onboarding.
We aim to treat all suppliers and subcontractors fairly and consistently through:
- operating under consistent and clear contractual terms and conditions
- adhering to agreed payment terms and
- maintaining regular lines of communication to ensure successful outcomes.
We have built several long-term supplier and sub-contractor relationships through collaboration over several years to ensure that the high standards demanded by our customers are met every time.
The majority shareholder is an employee ownership trust and there are formal mechanisms in place regarding communicating key decisions taken by the directors.
The Environment and Communities
Environmental considerations are of critical importance, which is exemplified by the ‘Factory First’ approach to production and a constant drive to minimise the carbon footprint of both our products and processes.
Through innovation and value engineering, the directors take active roles in driving environmental and sustainability initiatives and a sustainability committee, sponsored by the Board, brings together the whole business in identifying and delivering initiatives that improve environmental performance.
BladeRoom data centre products, which play a critical role in hosting IT and communications infrastructure for governments and multi-national businesses, are amongst the world’s most efficient, keeping electricity and water usage to a minimum.
The design of ModuleCo’s ‘Manufactured For Life’ healthcare facilities, which provide the best environments for healthcare professionals to care for and treat their patients, minimises air leakage and utilises materials with leading thermal properties to minimise energy usage by the hospitals that operate them.
As well as aiming to support local communities in the areas where we deliver our products through the sourcing of goods and services from local suppliers, we actively promote participation in fundraising and other charitable activities by everyone in the business.
In the past year, this has included:
- organising charity walks and cycle rides – with all staff encouraged to participate
- making donations to and match-funding of individual employee fund-raising efforts and
- sponsorship of local sports clubs and teams.
A proposal has recently been approved allocating two days per year to every member of staff to pursue company-led, team-based or individual activities that support charitable or community-based objectives.