Strong corporate governance and responsible ethical leadership are foundational to our ability to sustain and grow our business. We seek to maintain a clear framework of accountability to define responsibilities and to properly manage all material risks. Our adherence to our core values and commitment to high ethical standards are underpinned by a well-designed organizational structure and clear bylaws, policies, and practices designed to provide critical oversight and controls.
Our Board is responsible for overseeing our overall ESG progress, including the execution of our climate change strategy. As part of our formal structure for ESG governance, the Nominating and Corporate Governance Committee oversees our overall ESG program and reporting, as well as our Board diversity. Additional Board committees maintain specific ESG-related responsibilities as well. At least annually, executive leadership provides ESG updates to Board committees and/or the full Board. Topics may include introduction of new strategic ESG initiatives, progress on ESG projects and objectives, results of relevant studies and reports, current and emerging legislation, and trends in the industry.
Our ESG Executive Oversight Committee, comprised of members of the executive leadership team across functional areas of the Company, is led by our VP of Customer Service & Chief Citizenship Officer and ESG Program Manager. The ESG Executive Oversight Committee’s purpose is to oversee our overall ESG vision, management, and communications, as well as track progress of the strategies, policies, and practices relating to our material sustainability issues. To further promote responsibility for ESG performance across our leadership team, our short-term incentive program links executive compensation to metrics related to ESG initiatives, including for water quality, emergency preparedness, workplace safety, and customer service. We also have various ESG Working Groups dedicated to specific cross-cutting ESG focus areas. The Working Groups include officer sponsors, subject matter experts, and goal owners across the Company. These teams support the execution of our ESG strategies and objectives as well as facilitate cross-departmental collaboration for their areas of focus.