Strategy, risk management and corporate governance


The company's strategy is to secure growth and reduce earnings volatility within the construction sector by capturing multiple margin streams across the infrastructure value chain. This is achieved through product and geographic diversity and optimising the supply chain. These translate into the following six main activity areas:

  • Focus on mining, industrial, power, oil and gas, water, real estate and transport
  • Grow capacity to secure and deliver large multidisciplinary contracts
  • Extract value throughout the infrastructure value chain
  • Develop, invest in and operate concessions and property assets
  • Expansionary geographic strategy
  • Driving internal efficiencies

Risk management

The construction operational environment is complex and makes total risk elimination almost impossible. Our company’s risk management philosophy therefore focuses on the effective and ongoing management of risk. Our rigorous processes include early identification, quantification and assessment of risks and application of risk mitigation measures to reduce the potential impact. We also balance our reward to the value of risk we take to ensure a sustainable business model. Our combined assurance model ensures that key risks are identified and mitigated. The mitigation strategies are all subject to the 3 levels of assurance to ensure the company is adequately protected.

Determining risk

The determination of risk is based on two methods:

Risks are reported to the Board through the risk committee and the social and ethics committee.

The Board risk committee deals primarily with risk management across the group. The group risk officer presents a risk plan each year to the Board which highlights the key initiatives and ongoing coverage to be achieved. The Board risk committee approves the plan, together with any policies and procedures governing risk management in the group.

Corporate governance

The board of directors understands the responsibility it has to lead the company effectively, ethically and transparently. Accordingly, the board focuses on guiding the company and executing strategy with sound corporate governance. Our board remains committed to adhering to the highest standards of corporate governance, including King III, the Companies ac, the JSE Listings Requirements and other applicable regulations.

The Board

Panyanru maintains a unitary board structure, comprising of two executives, the chief executive officer (CEO) and the chief financial officer (CFO), as well as nine independent non-executive directors.

The board has five standing committees through which it operates. The board has delegated specific responsibilities to committees to facilitate the discharge of duties through focused oversight on the respective specialist areas. The composition of each committee is determined by the board. Each committee is chaired by an independent non-executive director and is governed by terms of reference which are reviewed annually by the board. The respective chairpersons of the committees report formally to the main board after each committee meeting on all matters within its scope of responsibilities, including recommendations on required action items. The minutes of the meetings are also made available to the board for noting. The current board committees and their chairpersons are:

  • Audit committee -
  • Risk committee -
  • Remuneration committee -
  • Social and ethics committee -
  • Nominations committee -

These committees play an important role in enhancing good corporate governance and improving internal controls to ensure the sustainable performance of the group.

Ethics at Panyanru

As Panyanru we understand that our reputation is fundamental to our long-term success. Panyanru is a values driven organisation that is built upon a solid foundation of:

  • People;
  • Excellence;
  • Revolution;
  • Customer focus;
  • Integrity;
  • Innovation; and
  • Enactment.

These values, which are consistently applied across Panyanru form the basis of:

  • What we stand for
  • What is important to us
  • The way we conduct business.

Panyanru’s code of conduct

  • The King Report on Corporate Governance has influenced the development of corporate governance within the company.
  • The report provides a good foundation and useful guideline upon which the company’s corporate governance is modelled upon.
  • All employees within the company have an important role to play in ensuring that the Group’s values and ethics are upheld.