Management Board and Supervisory Board

The company is directed by a Management Board, which is responsible for conducting business. Its main duties include managing the Group, setting the strategic focus and planning, as well as establishing, implementing and monitoring a risk management system. The Management Board is bound by the company’s interests and is obliged to increase the value of the company in the long run.

Following Mr. Thomas Zinnöcker’s departure at the end of January 2016, Vonovia’s Management Board consisted of four individuals in the 2016 fiscal year. Each Management Board member manages his executive division independently and provides the Management Board as a whole with information on key developments on a regular basis. Resolutions on matters of particular importance or fundamental issues relating to corporate policy and corporate strategy are passed by the Management Board as a whole. The distribution of duties and collaboration within the Management Board are set out in the rules of procedure for the Management Board.

The members of the Management Board are appointed by the Supervisory Board. The focus is on ensuring that members have the special knowledge and professional skills they are expected to have in order to perform their duties. Particular emphasis is placed on leadership skills and organizational/social skills.

As the supervisory body, the Supervisory Board monitors the management of the company’s business and supports the Management Board with decisions of fundamental importance. It is provided with regular information by the Management Board on business developments, the strategy and potential opportunities and risks (see Risk Management: Vonovia in a Stable Position, AR 2016, Supervisory Board). 102-18, 102-19

In the 2016 fiscal year, the Supervisory Board had twelve members who were elected by the Annual General Meeting. Vonovia’s Supervisory Board is not subject to a co-determination requirement. Professional qualifications and personal skills are key when it comes to filling positions on the Supervisory Board.

The Supervisory Board performs its duties in plenary meetings, unless individual matters are assigned to Supervisory Board committees. At the moment, Vonovia’s Supervisory Board has set up the following committees: Audit Committee, Finance Committee and Executive and Nomination Committee. The intensive work performed within the committees supports the Supervisory Board in effectively performing its duties and in helping to ensure efficient decision-making processes. The Supervisory Board’s Audit Committee is responsible for the issue of sustainability. 102-22