Our sustainability governance approach builds trust among our stakeholders and drives the compliance culture of all our colleagues. Our dedication to doing better is proven through our Guiding Principles & Values, in our mission to shape the future of gaming and entertainment, and in our 2030 commitment to “Inspire our guests by showing them a sustainable future is a better future”.
A strong, vibrant and engaged workforce is key to fulfilling our responsibilities. Melco fosters an inclusive workplace where colleagues are empowered by leadership and supported through training to live and breathe our behavioral and ethical standards, as set out in our Code of Business Conduct & Ethics (the Code).
Our Board is not only driven by compliance, but by a deep-seated belief that good governance drives meaningful impact and performance. As a result, the Board is responsible for our Sustainability & CSR strategies and reporting, as well as determining and evaluating related risks to ensure appropriate controls are in place for all our material topics.
Our Board has seven members:
Three Directors nominated by our parent company, Melco International Development Limited Four Independent Non-Executive Directors who lead and participate in board committees
Our Board has established three committees, each of them consists entirely of Independent Non-Executive Directors:
Compensation Committee Audit and Risk Committee Nominating and Corporate Governance Committee
Melco is committed to diversity at all levels of the Company. Gender, social and ethnic diversity are substantial foundations for this, allowing us to gain a greater understanding of the expectations of our guests and obtain new insights into risks and opportunities. For further details on our corporate governance policies and practices, refer to our corporate website
Mirroring OUR COMMITMENT: to integrate sustainability into our operations, our Sustainability and CSR programs are led by three complementary steering committees, namely the CSR, Responsible Gaming and Executive Sustainability committees.
Through Melco’s EVP, Chief of Staff to Chairman & CEO, and Chief Sustainability Officer, the committees report directly to the Chairman & CEO and the Board. The committees, supported by working groups, are responsible for assessing stakeholder concerns and for each material topic, establishing internal governance, ensuring funding and resources, setting goals and policies, and prioritizing initiatives.
The Exco receives regular updates on performance and results from all three steering committees, and provides recommendations as needed, to ensure Melco stays on track to meet the goals of our Above & Beyond strategy.
Melco’s risk management philosophy is centered on an approach that considers both risk and opportunities to create and realize value for our stakeholders. Our Enterprise Risk Management (ERM) framework takes reference from the industry standard ISO 31000:2018, which provides principles, a framework and a process for managing risks that impact our strategic and operational objectives, including progress on sustainability. The Board oversees the ERM process through the Audit and Risk Committee. The Strategic Risk Assessment and Mitigation report is presented twice a year to the committee and our Chief Risk Officer (CRO) is operationally responsible for the process.
Our CRO regularly discusses current and emerging risks, and their potential impacts and mitigation measures with the Executive Management team, and presents on risks and opportunities to the Audit and Risk Committee every quarter. As part of the quarterly update, the CRO assesses the 4Ts for each risk: Treat, Tolerate, Transfer or Terminate. For further details on risks related to our business and operations, please refer to our Annual Report (US Form 20-F)
Our colleagues are also actively engaged in risk identification and discussion on mitigating measures through monthly risk management meetings held at each resort, and focused discussions between the CRO and the resort presidents and business unit leaders. For how sustainability issues and material topics present both risks and opportunities, view our Sustainability Issues, Value Chain Impacts and Risks & Opportunities