April 9-10, 2019, the second module of the VI Training Program for Corporate Directors was held. 20 participants got their Certificates.

Welcoming remarks were made by Jason Brett Pellmar, Head of the IFC Regional Office in Ukraine, Belarus and Moldova, who said: “Good corporate governance is part of the reputation of the company, and it helps companies to respond to current demands, to manage risks and provide more efficient business management, making it easier to access capital and investments. As a member of the selection committee for state-owned company executives, I know how important and at the same time how difficult is to find the leaders of companies, members of supervisory boards that can inspire, promote change and achieve results. I hope that you will become such leaders and will be able to continue the movement for reforming the Ukrainian economy and state-owned companies. IFC is one of the largest international investors in the Ukrainian private sector. We are long-term partners of Ukraine”.

Oleksandr Okuniev, Chairman of the CGPA Management Board, shared his experience regarding the benefits of proper corporate governance, the main components of corporate governance, which are of particular interest to investors, the role and competence of an effective supervisory board.

Oleg Zhuravlov, the Сhairman of the Supervisory Board IC “Krona”, told about the new procedure for appointing members of the Supervisory Board – Induction session. It helps quickly to introduce new board members, tell about the peculiarities of the business of the company, the markets in which it works, helps to build relationships with the employees of the company etc. On the main scenarios of the appointment, the questions to be asked by the new member of the Bboard, the practice of using such sessions, about the negative scenarios and their consequences.

“Induction session ideally has three components: providing information, increasing curiosity and enthusiasm, as well as encouraging maximum full participation in the work of the supervisory board”, Oleg Zhuravlov said.

Igor Gut, Managing Partner of DYB – Develop Your Business (Swedish-Ukrainian project for owners) told about the role and tasks of the Supervisory Board in building the competitiveness and balance of the company.

What new challenge is appearing for Ukrainian companies? How does the technology gap and corporate culture affect the competitiveness of the company? Who determines the company’s vision? Why the company’s focus is important? How to combine all the elements of strategic development on a single sheet of paper? These and other questions were discussed by participants of the program together with Igor Gut.

Olena Volska, Managing Partner and Director, EBS Consulting Company, told about the role and tasks of the Board concerning the assessment of the results of the company’s activity; the activities of the Audit Committee of the Board. Also she paid attention to the following issues:

• The Board’s role in investor relations.
• What information should provide the top management to the Board?
• What useful information can be obtained from the financial statements?
• How to identify potential problems and risks?
• What indicators could evaluate the effectiveness of the company’s management?
• Approaches to the Board’s decision making on the problem of determining the remuneration system of senior management of the company.
• Activities of the Remuneration Committee of the Board.

Iryna Starodubova, Associate Partner of Capital Times, talked about the company’s interaction with investors and development and implementation of the strategy of business financing. She pointed out the following issues:

• The strategy of business financing: factors, components, development, implementation.
• The structure of the capital and cost of capital investment in practice.
• Debt financing.
• Raising capital for private equity investment funds: the terms of the transaction, valuation, experience.

Sergey Goncharevich, Founder and Managing Partner at the Capital Times, continued to talk about the company’s interaction with investors:

• The advantages and disadvantages of publicity: insights from experience of Ukrainian companies.
• Preparing for the initial placement of shares: market selection, a sequence of actions, costs, typical mistakes.
• Investor relations and information policy.

Oleksandr Okuniev, Chairman of the CGPA Management Board, told about the evaluation of the effectiveness of the Board and the activities of the Corporate Governance Committee; practical advice regarding assessment procedures; the solution to the problem of succession in company management (succession planning), as tasks of the Board. The activities of the Nominating Committee.

Sergiy Pogrebnoy, Partner of Sayenko Kharenko Law Firm, told how to provide the company corporate security and the Board’s task concerning this issue. He gave a lot of negative examples of Ukrainian companies activities, which occurred as a result of poor corporate security system.

At the end of the Program, the participant has the meeting with the members of the Board of the National Registry of Corporate Directors. Igor Mitiukov, Oleksandr Okuniev and Oleg Trypolskyy, the Registry Board Secretary, told about the role, tasks, the criteria of inclusion and opportunities for Directors, included in the Registry.