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20 About Strategy and Governance Our People Our Business Our Outcome AppendixSustainability Governance approved the service provider chosen for the external assurance. Lastly, the new sustainability data collection tool was demonstrated to members of the Audit Committee in a live presentation. This meeting also addressed the auditability of the tool and sought feedback from the Audit Committee. Please turn to the Climate Change Mitigation chapter in this report to learn more about the IT tool.%u2023 GRI 2-5, GRI 2-14We further incorporate sustainability at the highest level of our company by engaging in regular communication with stakeholders, such as analysts and investors, and consider the recommendations of proxy advisors and external sustainability ratings on Board remuneration. In addition, we use external benchmarking services to determine the remuneration of the Executive Committee and management. The results of shareholder votes on remuneration policies and proposals can be found in the minutes of the Annual General Meeting on the DKSH website.%u2023 GRI 2-19, GRI 2-20As in previous years, the quarterly Sustainability Committee meetings in 2023 provided an opportunity for delivering updates, engaging in discussions, and reaching alignment on regulatory developments, objectives, key initiatives, projects, and actions. We monitor progress and share knowledge and success stories at these meetings. After each Sustainability Committee meeting, the Committee Chair and Group Sustainability team meet with the CEO and other members of the Executive Committee to report on the Committee%u2019s work and obtain guidance.Working on behalf of their organizational units, the Sustainability Committee members take responsibility for achieving their sustainability-related targets and managing their impacts on the economy, environment, and people. For example, the Chief Human Resources Officer oversees meeting sustainability targets related to our employees.Our Business Units and Functions continued to formalize sustainability management at their respective levels, for instance by assigning dedicated resources to create transparency, drive actions and initiatives, and facilitate reporting. Sustainability managers and Sustainability Champions support the implementation of sustainability measures at the local level and provide meaningful feedback to the Sustainability Committee via their Business Unit or Function representatives.The Board of Directors of DKSH governs sustainability by charting the strategic direction for the Group and overseeing strategy implementation. In doing so, it is guided by the Group%u2019s values and our Sustainability Strategy. In 2021, the Chairman of the Board appointed a Board member to have oversight over sustainability matters. This role includes overseeing DKSH%u2019s processes to manage risks and our impacts on the economy, environment, and people by reviewing plans for areas including climate change action. This Board member also keeps the entire Board informed of sustainability and climate-related issues. In addition, the Board of Directors exercises administration, supervision, and control over the business of the company and the Group, including sustainability. The Board of Directors is responsible for preparing the Sustainability Report in accordance with legal requirements. The Sustainability Report is ultimately presented to shareholders at the Annual General Meeting (AGM) for approval. The Executive Committee, DKSH%u2019s highest executive management body, is tasked with implementing the Sustainability Strategy supported by a Sustainability Committee, chaired by Group Sustainability and made up of representatives from the Business Units and Functions. The Sustainability Committee plans, coordinates, monitors, and reports on sustainability initiatives and actions. DKSH%u2019s climate, environmental, social, and governance performance is one component of our Executive Committee%u2019s annual variable bonus to create an incentive to achieve our sustainability targets. The Group Sustainability team facilitates, coordinates, and drives sustainability-related planning, actions, and initiatives. It is also responsible for the Group%u2019s sustainability reporting activities. The team prepares for and conducts the annual schedule of dedicated quarterly meetings with Executive Committee members and the Sustainability Committee, and two meetings with the aforementioned Board member, with the Chief Executive Officer (CEO) in attendance. These scheduled meetings ensure that the Board is up to date on sustainability-related matters and critical concerns and, in turn, can provide guidance.The Board was informed of key sustainability-related developments at DKSH at the aforementioned meetings in 2023. It received an update on the Sustainability Scorecard as well as the 2022 and 2023 TCFD results. In addition, the Board was updated on the approach taken for external assurance of the Sustainability Report. The Board authorized the decision to continuously broaden the scope of externally assured information in the Sustainability Report. The CEO also