Ren Ci (“the Organisation”) recognises the importance of having a well-defined corporate governance system and processes, and is fully committed to upholding high standards of transparency and accountability within the Organisation to our stakeholders.
The Board has established Sub-Committees, each chaired by a Board member to assist in the execution of its responsibilities. The nine Sub-Committees* are:
* Note: With effect from 1 October 2024, the Building Committee and Tender Committee (a working committee) were merged as the Building and Tender Committee. A new Sustainability Committee has also been formed. Committee activities for FY2024/25 will be shared in mid-2025.
The activities of each of the Sub-Committees during the financial year are as follows:
Audit Committee
The Audit Committee (“AC”) held four meetings since the date of the last Directors’ report and carried out the functions of an audit committee as specified in the terms of reference approved by the Board of Directors. In carrying out its functions, the AC reviewed the overall scope of both the external and internal audits and met with the auditors to discuss the results of their examinations and their evaluation of Ren Ci’s system of internal controls. The AC also reviewed the finance and business office policies and financial statements of Ren Ci.
Ren Ci engaged internal auditor Baker Tilly Consultancy (Singapore) Pte. Ltd. to review and ensure continued validation on the adequacy of Ren Ci’s internal controls, and to ensure that recommendations to improve the efficiency and effectiveness of these internal controls are implemented.
During the year, Baker Tilly performed the following audits:
1. Control Self-Assessment at Bukit Batok Nursing Home in respect of:
2. Internal audit on Collection and Recording of Donations
3. Internal audit on Procurement to Payment
Baker Tilly presented its findings and recommendations to the AC and the Board. The Board has adopted Baker Tilly’s recommendations, and the Hospital is in the process of implementing the recommendations.
Building & Tender Committee
During the financial year, Tender Committee (TC) endorsed one Waiver of Competition for the Provision of Medication Carts at AMKNH and one RFP for the Provision of General Cleaning Services for Ren Ci Hospital in July 2024.
In October 2024, TC and Building Committee (BC) merged to form the Building and Tender Committee (“BTC”).
BTC continued to provide strategic guidance on various aspects of the Ren Ci Hospital Wards Additions & Alteration Works. It ensured proper evaluation and selection processes, and endorsed recommendations for RFPs not under the purview of other sub-committees. The Committee is committed to the promotion of sustainable practices in building development and operations, while ensuring all procurement activities align with the General Purchasing Policy and serve the best interests of the Hospital.
Following the merger, BTC endorsed the Provision of General Waste Collection Services for Ren Ci Community Hospital and Nursing Homes, and the Provision of Transport Services for Ren Ci Clients, in meetings held in October 2024 and February 2025 respectively.
Community Engagement Committee
The Community Engagement Committee (“CEC”) oversees fundraising, volunteer management and corporate communication functions. CEC played an active role during our 30th Anniversary Celebration and worked closely with other key Board Members to raise funds during major fundraising activities. At the same time, CEC provided oversight of the various fundraising initiatives, development of volunteers and reviewed key corporate collaterals such as the annual report, as well as ensured the existing policies in the areas of fundraising, volunteer development and corporate communications remain relevant. CEC also participated in volunteer leaders dialogue sessions and events to better engage our various stakeholders.
Governance & Risk Committee
At its yearly meeting, the Governance & Risk Committee (“GRC”) provided guidance on the review of the Ren Ci 2025 Risk Register and Terms of Reference for Board Sub-committees to ensure that they remain relevant to support strong governance.
During the year, GRC endorsed the Governance Statement and the online Governance Evaluation Checklist (GEC) submitted to the Charity Portal for which all areas in the checklist were met. Ren Ci remains in full compliance with the revised Code of Governance.
The GRC recognises the importance of upholding transparency and maintaining accountability to Ren Ci’s stakeholders. In 2024, Ren Ci was accorded the Charity Governance Awards (Special Commendation for Clarity in Strategy); the only recipient in this category. We also received the Charity Transparency Award, our seventh in a row since the inception of this award. Being accorded with both awards is testament to Ren Ci’s continued commitment to good stewardship, ethical practices and organisational excellence.
The Human Resource Committee (“HRC”) supported a series of human resource policy reviews and initiatives consistent with the best practices in the sector.
This year, HRC endorsed the Management’s proposal for remuneration adjustments and bonus payout. In addition, taking into consideration employees’ retention, the HRC also endorsed a special bonus payout. The annual leave entitlement was reviewed to keep Ren Ci competitive and attractive in the sector. The shared parental leave was updated to align with statutory requirements, supporting our employees with families. To ensure transparency in allowance payout, a set of 12 allowances was reviewed and endorsed by HRC. This provided clarity to employees.
On manpower development, HRC provided guidance on appraisal and promotions. The leadership development programmes, Seedlings and Seeds, for in-service employees and fresh graduates respectively, were presented and endorsed by HRC. Succession planning for key leadership positions was also discussed at HRC.
Investment Committee
During the year, the Investment Committee (“IC”) met quarterly to review the performance of the fund managers against the macro-economic conditions. Fund managers had to explain their investment approaches, their performances and their forecast of performance to IC. This process allows for a comprehensive analysis of investment performance and ensures the portfolios are managed in line with the overall investment objectives and guidelines of Ren Ci as set by the Board.
IC continues to provide guidance and feedback on matters relating to investments and investment policies to the Board.
Medical Advisory Committee
The Medical Advisory Committee (“MAC”) reviewed and provided guidance on the improvement of services, patient safety and collaboration with healthcare partners aligned with the Nation’s Healthier SG strategy. Areas included review of clinical collaboration between Woodlands Health and Ren Ci @ Woodlands Nursing Home as part of an integrated campus, medication management services in nursing homes and patient safety indicators across Ren Ci facilities.
Nominating Committee
As part of good governance and in alignment with the Charity Transparency Framework, the Nominating Committee (“NC”) complies with the Board renewal and Performance Evaluation policy which includes:
• Nomination and renewal of Board every 2 years,
• Board skills matrix as part of succession planning,
• Timely orientation and induction of new Board members, and
• Annual Board Self-Assessment exercise to gauge the effectiveness of the Board’s performance. The assessment results were discussed at the subsequent Board meeting to identify areas of improvement.
NC met 1 time in FY2024/2025, and made several key recommendations:
• Approved 2 nominations as member of Investment Committee effective 1 October 2024
• Approved the merger of Building and Tender Committees into a new Building & Tender Committee effective 1 October 2024
• Approved the formation of a new Sustainability Committee effective 1 October 2024
• Supported 1 nomination as new Board member for Board term 2025/2027
• Approved the appointments of a new Treasurer and Investment Committee Chair for Board Term 2025/2027
• Supported the retirement of 3 existing Board members – Mr Lim Chai Boon (21 years), Dr Aaron See (21 years), and Mr Seah Choo Meng (12 years) when their term ends on 30 June 2025
With the stepping down of Mr Lim Chai Boon, Dr Aaron See, and Mr Seah Choo Meng, only 3 other Board members have served more than 10 years on the Board. NC will continue to periodically renew its board membership by adopting a phased renewal approach to allow a seamless transition and sharing of expertise and experience with incoming directors.
Sustainability Committee
The Sustainability Committee (“SC”) was newly set up in October 2024 to steer the organisation’s sustainability strategy and initiatives.
In collaboration with relevant Board Sub-Committees, the SC provides guidance in:
• Promoting the environment stewardship through our consumption and actions;
• Advancing social responsibility as an active contributor to the community; and
• Upholding strong governance to ensure our ongoing ability to drive positive impact.
These efforts are aligned with our Environmental, Social & Governance (ESG) framework.
The Committee approved a list of shortlisted topics for further assessment for materiality. A high-level approach as well as Sustainability Principles to adopt for the organisation were discussed.
From time to time, the Board establishes Working Committees to provide further guidance and oversight in specific areas. There are currently three Working Committees, the IT Steering Committee (“ITSC”), Facility Medifund Committee (“FMC”), and Ren Ci Assistance Scheme Committee (“RCAS”).
The ITSC guides the development of IT strategy, policy and architecture to improve security, productivity, resiliency and cost effectiveness of Ren Ci’s IT operations. The ITSC met three times during the year to discuss and endorse key projects such as Transport and Fleet Management System, Server Room relocation at Ren Ci Community Hospital, implementation of National Healthcare Integrated Pharmacy System (NHIPS) and infrastructure tech refresh at Bukit Batok Nursing Home. ITSC also provided guidance on data and cyber security for the organisation, to respond to the upcoming Health Information Bill instituted by MOH.
The FMC oversees the Government Medifund and Medifund Silver Assistance schemes for Ren Ci beneficiaries and met twice last year. The RCAS meets annually to consider and grant support to beneficiaries who require additional assistance on top of existing subsidy schemes.
The RCAS meets annually to review and approve additional financial aid for beneficiaries requiring support beyond existing subsidy schemes.
Ren Ci submitted a declaration of its extent of compliance with the Code of Governance for Charities and IPCs (2017) (“the Code”) via the charity portal in July 2023.
The GRC is pleased to report that the organisation and Board have complied with the guidelines of the Code. The level of compliance by the organisation can be viewed at www.charities.gov.sg
The Board also conducts annual self-evaluation to assess its performance and effectiveness.
Since 2008, the Board has put in place a policy where all members of the Board, Sub-Committees, staff or volunteers (collectively the “Members”), when acting on behalf of Ren Ci, must ensure that the deliberations and decisions made, including transactions, are in the interest of the organisation.
All Members shall promptly and fully disclose, in accordance with the procedures laid down by the organisation, all interests (actual or potential) which could conflict with their duties and shall not in any way be involved in the transaction, or influence the outcome of the transaction.
Since 2012, Ren Ci has in place a Code of Business Conduct that is applicable to all Members. The code requires Members to observe high standards of professional, personal ethics and integrity. It sets out guiding principles and desired behaviours that Members are expected to abide by in situations, such as when representing Ren Ci, using Ren Ci’s resources or communicating with external parties on behalf of Ren Ci. Violation of the code may result in disciplinary action such as termination of employment or appointment or even civil legal action.
Ren Ci also has in place, a Whistleblowing policy since 2008. To develop a culture of accountability and transparency, this policy addresses the organisation’s commitment to ethical behaviour where employees and external parties such as volunteers and contractors are encouraged to report concerns of misconducts without fear of reprisal or unfair treatment. Ren Ci aims to establish:
• Reliable and safe channels for Ren Ci’s internal and external stakeholders to report concerns or suspected concerns,
• Structure to ensure fair investigations of reports, and
• Arrangements to support learnings and continuous improvements to achieve strong governance.
The policy encourages the whistleblowers to identify themselves but allows for anonymous complaints. It makes available the contact of the AC Chairperson and the Board Chairman by the following channels:
• Audit Committee Chairperson’s email at whistleblow@renci.org.sg
• Board Chairman’s email at boardchair@renci.org.sg
• Sealed report in an envelope marked ‘Private & Confidential’ and mail to:
Chairman, <Audit Committee or Board>
c/o Ren Ci Hospital
71 Irrawaddy Road
Singapore 329562
The AC has the authority and responsibility to commission and review investigations and their findings of the complaints, with the full co-operation of management and use of other resources, where necessary.
One case of whistleblowing was made known to Management. AC Chairperson and Board Chairman were duly informed. An internal Board of Inquiry was formed and the investigation revealed that the allegations were unsubstantiated. The case was closed.
The reserves of the organisation provide financial stability and serve to meet future increases in healthcare operating expenses.
The current year’s reserves of $191 million is estimated to be adequate to fund about 2.1 years of annual operating expenses, basing on operating expenses in the financial year ended 31 March 2024.
The Board of Directors reviews the level of reserves regularly for the organisation’s continuing obligations.
Part of the reserves is placed with financial institutions and is managed in accordance with the organisation’s investment policy which is approved by the Board. This helps to preserve the purchasing power of the funds while ensuring sufficient liquidity for operational contingencies.
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