Effective corporate governance stewards the interests of our employees, share owners, and Indigenous and community partners over the near, medium and long term, providing review and oversight of corporate strategies and executive decisions. We regularly evaluate our governance practices to ensure they are aligned with the highest standards for assessing sustainability and climate-related issues. At ATCO, we have a unique and effective system of corporate governance that recognizes the need to provide autonomy and flexibility to our different businesses, while accommodating the needs of both our regulated and non-regulated businesses.
Key elements of our corporate governance system include the oversight and diligence provided by the Board of Directors, the lead director, the Audit & Risk Committee and our Corporate Governance, Nomination, Compensation and Succession Committee (GOCOM). The Audit & Risk Committee, comprised of independent directors, has the greatest oversight of our sustainability practices. The committee reviews risks and opportunities that could materially impact our ability to achieve our strategic objectives and is responsible for ensuring that management addresses risks by implementing appropriate mitigation measures.
We have an established enterprise risk-management process that allows us to identify and evaluate risks by both severity of impact and probability of occurrence. This evaluation includes climate-related challenges relating to transitional (policy/regulatory, market, technology and reputational) and physical factors. In addition, we incorporate climate-related opportunities such as resource efficiency, developing cleaner energy sources, innovative products and services, access to markets, and climate change resilience and adaptation.
The senior executive of each operating division reports on operating results and risks to a designated audit director, who in turn reports to the Audit & Risk Committee. In addition, each division prepares a Stewardship Report, which is presented to the Audit & Risk Committee on a bi-annual basis, and includes topics such as safety, environment and Code of Ethics compliance. Our How We Do Business document is the code that sets out the behaviours and standards of conduct we expect of ourselves and each other. It provides an overview of the policies and practices that must be followed by anyone who works for or represents ATCO.
At ATCO, the sustainability team reports through the Vice President of Finance, Treasury & Risk to the Chief Financial Officer. Several senior members of leadership also oversee and contribute their expertise due to the cross-functional nature of many sustainability initiatives. Sustainability is managed collaboratively across numerous groups, including Human Resources, Government Relations, Indigenous Relations, Health & Safety, Environment, Marketing & Communications, Business Development, Internal Audit and Risk Management, among others. These groups monitor best practices, develop and implement policies and standards and support our various divisions.
The daily management of sustainability commitments and programs is guided by divisional leadership through topic-specific policies, training, monitoring and other management considerations. Our executive leadership team are kept informed through quarterly internal dashboards that report key performance indicators, including data regarding environmental, safety and Indigenous relations metrics.
For more information on our commitment and approach to our sustainability material topics, visit the our commitment pages for each material topic. For more detailed information on our corporate governance and management approach, please refer to the Governance section of the Management Proxy Circular for ATCO Ltd.