CJ Logistics

Board of Directors

CJ Logistics’ Board of Directors is composed of seven directors. Among them, three are inside directors including Representative Director and four are outside directors. CJ Logistics targets 51% of BOD members to be represented by outside directors so as to ensure check-and-balance and oversight by the BOD. On this basis, outside directors are appointed from among candidates recommended by Outside Director Candidate Recommendation Committee. In appointing a director, the Company does not tolerate discrimination based on gender, nationality, age, religion, ethnicity, origin, academic achievement and disability and strives to secure diversity and balance. As of June 2024, CJ Logistics’ Board of Directors has one female director.

Board Operations

CJ Logistics convenes regular Board meetings on a monthly basis, with ad-hoc meetings held as needed to enable agile decision-making. In 2024, a total of nine Board meetings were held, during which 32 agenda items were reported and resolved. All inside and outside directors attended every meeting without exception. Each committee and the relevant supporting departments are responsible for reviewing questions and requests raised by directors in advance, thereby ensuring the Board's efficient operations. They also provide additional explanations and reports related to agenda topics as required. The outcomes of Board operations, including annual summaries of proceedings, resolutions, and director attendance, are transparently disclosed in our business report each year.

BOD Evaluation and Compensation

Activities of outside directors are evaluated with overall consideration into their attendance rate at Board of Directors and sub-committees, independence and contribution, and the evaluation results are reflected in their compensation and recommendation for re-appointment at Outside Director Candidate Recommendation Committee. Management’s activities are evaluated based on such quantitative indicators as sales revenue and operating income, etc. along with their key competency and contribution to the Company in an objective manner. Compensation policy for key management is designed to be aligned with the long-term interests of shareholders, and their compensation is transparently disclosed to the public. CEO is subject to variable compensation whose long-term incentive is calculated on the basis of actual sales revenue and operating income of the past two years vs. target and KPI. The incentive is then paid over a two-year period.