The Board's role
Our Board is responsible for leadership, direction and oversight of Fonterra. It is accountable to our Shareholders for the overall performance of the Co-operative. Specific functions of the Board include:
- Review of the dividend policy and declaration of the interim and final dividend.
- Declaration of the Farmgate Milk Price and Distribution Profit.
- Declaration of the actual Co-operative share price from the commencement of each season (the Fair Value Share price).
- Reviewing and approving the Group strategy and business plans.
- Appointing the CEO and reviewing the CEO's performance.
- Delegating authority to management, and monitoring the exercise of that authority.
- Engaging in the development of the strategic plan and setting the strategy for the Group and for the major business units within the Group.
- Approving significant acquisitions and disposals outside management's delegated authorities.
- Overseeing the Board Committees and the areas covered by each of those Committees.
Our Board and management team have developed systems that reflect Fonterra’s unique characteristics and requirements as a New Zealand-based co-operative.