Rabobank towards a new governance structure
Rabobank is conducting an intensive internal dialogue regarding the structure and governance of the cooperative organisation. The bank wants to renew its governance in order to strengthen both its cooperative identity and its banking business.
The internal Governance Committee was instituted in March 2014. This committee has been given the task of advising the Executive Board on a system of governance that will contribute to the recovery of confidence in Rabobank among customers, members, employees, regulators and other stakeholders. This pertains to both the structure and culture of the organisation’s governance. The Governance Committee is comprised of the chairs of the board of directors and supervisory boards of the local Rabobanks and members of the Executive Board.
The committee formulated the basic criteria that the future governance of Rabobank must fulfil in an interim report released last summer. In summary this means that the services will remain nearby the customers and that there will be a financially strong cooperative that is socially involved and operates on the basis of trustworthy management and a low cost load. This received broad support from the General Members Council in September. This laid the foundation for further exploration in the autumn and decision-making in the first half of 2015.
The future governance has been discussed intensively with the local Rabobanks within an open dialogue over the past weeks. The Governance Committee was commissioned at the General Members Council of 3 December 2014 to develop a governance structure in greater detail. The main related objective is to strengthen both the cooperative and the banking business.
The committee will present more detailed proposals to the Executive Board in early 2015. The Executive Board will then discuss the proposals with the representatives of all the local Rabobanks. The decision-making on the change to the governance is expected to take place in the first half of 2015.