Performance evaluation

Board and directors

The performance of the Board as a whole and each of its committees are reviewed against the requirements of their respective charters. In addition, the individual performances of the Board Chair and the directors are also reviewed. The People & Performance Committee determines the evaluation process for the Board and individual directors.

The performance evaluation of the Board as a whole and individual directors is conducted annually, the most recent being in June/July 2008. The review process comprised:

a self-evaluation survey completed by individual directors;
a questionnaire/feedback from senior executives in relation to their dealings and interface with the Board;
individual discussions between the Board chair and all directors and senior executives, using the summarised results of the completed surveys; and
a confidential report to the Board of the collated results of the process for discussion/consideration.

Performance of the Board and individual directors was assessed against a range of qualitative and quantitative criteria, covering the following focus areas:

Board as a whole

Strategy and planning
Board structure and role
Meeting process
Performance monitoring
Board and director responsibilities

Individual directors

Strategy development
Due diligence
Accountability
Team performance
Mentoring
Special expertise that directors have to add value to Western Power

The Board reviews the performance of its committees by way of a review of a written report from the respective committee detailing its:

assessment of its performance against the requirements of its charter;
goals and objectives for the coming year; and
recommendations for any improvements to its charter deemed necessary or desirable

These formal Board, committee and director evaluations are conducted annually.

The Board also informally reviews its performance on an ongoing basis, by way of a meeting critique conducted by a member of the Board at the close of each Board and Board committee meeting.

Chief Executive Officer/Managing Director & other senior executives

The People & Performance Committee reviews, and makes recommendations to the Board on, the process for reviewing the performance of the CEO and senior executives. The CEO’s performance is judged against the approved strategic plan and the corporate and personal key performance indicators established for the CEO on an annual basis.

The CEO assesses the performance of senior executives by reference to corporate, divisional and personal key performance indicators established for the respective senior executives and approved by the People & Performance Committee on an annual basis.