Half yearly reports are sent to each household of shareholders, quarterly results of the company are published in Economic Times & Maharashtra Times regularly and were displayed on Tata Steel Website (www.tatasteelindia.com). The results were also displayed as official news releases and presentation were made to the institutional investors.

Stock information has been furnished in Section-2.6 and the performance of Tata Steel’s share in comparison to Bombay Stock Exchange Sensex is furnished in the figure below.

3.2 Independent, Non-Executive Directors in the Board

The Independent Directors are those who apart from receiving director’s remuneration do not have any material pecuniary relationship or transactions with the company, its promoters, its management or its subsidiaries, which may affect the independence of the director’s judgement. A financial institution nominee will be considered to be an independent director in all cases.

3.3 Selection of board members

The Board of Directors is guided by organization’s Vision, Mission & Values. The composition of Board of Directors is a mix of the full time executives and non-executives representing business houses and financial institutions, with requisite experience in handling economic, environmental & social issues. The board members regulatory review the compliance status of the organization on these issues. There is a guideline for selection of Board Members. The criteria broadly cover individual traits that would add to the composite perspective of the Board. Ability to contribute positively to Board Dynamics, Leadership skills, Contemporariness and ability to devote adequate time.

3.4 Board members involved in managing risks and opportunities

The agenda papers along with status report on economic, environment and social legal compliance are sent in advance to all the Board Members before meeting for review, comments and suggestions during the meeting. The feedback from board members is analysed by the top management and considered for business decision-making.

3.5 Linking executive compensation with overall achievement

The executive compensation is based on the achievement of individuals on parameters included in the BSC, which includes both financial and non-financial KPM’s. In the beginning of the year a performance contract is signed by each executive including MD that forms a basis for assessing the performance of individuals to arrive at the compensation packages. The balance scorecard of the MD, which is cascaded down to every individual, is furnished in Figure#3.7.