We are only halfway through 2020 and it has already been a year filled with tectonic shifts throughout the way we work, live and play. Some of these changes are likely to become a permanent part of our lives as we deal with the uncertainties of a world in recovery. It is necessary we round up a list of things we do know to cope with the uncertainties so, here are trends to look out for in your boardrooms:
1) Proposed CA Changes to Enable Digitalisation
In line with Singapore’s Smart Nation transformation, ACRA has launched a Public Consultation on Proposed Amendments to Companies Act (CA). Proposed changes include dematerialising physical share certificates, enabling the holding of virtual board and shareholder meetings by facilitating digitalisation of all documents under the CA that are required to be sent to members, officers or auditors. If this follows through, the transition by companies from manual to digital medium may be accelerated to provide for a safe and sustainable paperless environment in the light of the COVID-19 outbreak.
Additional updates on the Companies Act also suggest that it should be amended to make it mandatory for all companies to accept proxy instructions given by electronic means instead of leaving this to be stipulated in the company’s constitution.
2) Update on ACRA’s Central Register of Controllers
Greater responsibility of organisations is needed and all local and foreign companies and limited liability partnerships (LLPs) in Singapore will be required to file the information currently maintained in their Register of Registrable Controllers (RORC) with the new central register by 29 September 2020, unless exempted. This aims to enhance transparency regarding ownnership and control of corporate entities.
3) Greater Transparency
As investor confidence plummet, boards are making a conscious effort to attain transparency in their ESG factors and this will continue being even more important as consumers and investors look towards them more than ever.
4) Agility in Tech
Companies who are actively seeking out new boardroom technologies are better equipped to adapt their working styles in these unpredictable times, making them possess greater organisational agility.
Want to help your organization stay ahead of the trends? Talk to us today.