Boards and Committees Terms of Reference
The terms of reference for the various committees which govern the work of the IET.
Audit Committee
(a) To consider the appointment of the external auditor and assess independence of the external auditor, ensuring that key partners are rotated at appropriate intervals.
(b) To recommend the audit fee to the Board of Trustees and pre-approve any fees in respect of non audit services provided by the external auditor and to ensure that the provision of non audit services does not impair the external auditors’ independence or objectivity.
(c) To discuss with the external auditor, before the audit commences, the nature and scope of the audit and to review the auditors’ quality control procedures and steps taken by the auditor to respond to changes in regulatory and other requirements.
(d) To oversee the process for selecting the external auditor and make appropriate recommendations to the Board of Trustees for consideration at the AGM.
(e) To review the external auditor’s management letter and management’s response.
(f) To review the internal audit programme and ensure that the internal audit function is adequately resourced and has appropriate standing within the IET.
(g) To consider management’s response to any major external or internal audit recommendations.
(h) To consider management’s recommendation for the appointment or dismissal of the head of internal audit.
(i) To review the IET’s staff procedures for handling allegations from internal whistleblowers and to consider allegations from whistleblowers if appropriate.
(j) To review management’s and the internal auditor’s reports on the effectiveness of systems for internal financial control, financial reporting and risk management.
(k) To review, and challenge where necessary, the actions and judgements of management, in relation to the annual financial statements before submission to the Board of Trustees, paying particular attention to:
(i) critical accounting policies and practices, and any changes in them;
(ii) decisions requiring a major element of judgment;
(iii) the extent to which the financial statements are affected by any unusual transactions in the year and how they are disclosed;
(iv) the clarity of disclosures;
(v) significant adjustments resulting from the audit;
(vi) the going concern assumption;
(vii) compliance with accounting standards;
(viii) compliance with legal requirements;
(ix) reviewing the IET’s statement on internal control systems prior to endorsement by the Board of Trustees and reviewing the policies and process for identifying and assessing business risks and the management of those risks by the IET;
(x) any other matters relevant to the financial well-being of the IET.
(l) To discuss with the external auditor any problems and reservations arising from the interim and final audits and any matters the auditor may wish to discuss (in the absence of management where necessary).
(m) To comment on the Financial and Corporate Risks section of the Risk Register to the Board of Trustees.
(n) To ensure compliance with Delegated Authorisations which should be monitored by the Vice President (Honorary Treasurer).
(o) To be the primary interface on behalf of the IET with the Charity Commission on any investigation or enquiry into IET’s financial affairs.
(p) To consider other topics, as defined by the Board of Trustees.
(q) To seek any information that the Committee requires from any employee of the IET Group.
(r) To obtain external legal or independent professional advice and to invite such advisors may attend meetings as necessary.
(s) To report to the Board of Trustees.
Finance and Investment Committee
(a) To ensure that the investments of the IET held against the reserve funds and the trust funds are managed on behalf of the Board of Trustees in accordance with agreed policy.
(b) To give clear written instructions to the professional investment advisers on the IET’s investment policy.
(c) To ensure that the investments held are in accordance with legislation and good practice.
(d) To monitor the performance of the portfolios managed by the investment advisers and to discuss their performance with the investment advisers as necessary.
(e) To report to the Board of Trustees on the performance of the investments held against the reserve funds and the trust funds.
(f) To recommend to the Board of Trustees any change in the appointment of investment advisers.
(g) To review internal investments referred to it by the Board of Trustees.
(h) To deal with any detailed financial issues outside of the scope of the Audit Committee, at the request of the Board of Trustees.
(i) To report to the Board of Trustees.
(a) To make recommendations to the Board of Trustees for the appointment of:
The President
The Vice President (Honorary Treasurer)
(b) To make recommendations to the Board of Trustees, taking into consideration the required skill-set, for the nomination of Deputy Presidents, Vice-Presidents and Ordinary members of the Board of Trustees.
(c) To recommend to the Board of Trustees, for approval, the appointment from among the Trustees of the Chairmen of the Main Boards and the Committees reporting to the Board.
(d) To recommend to the Board of Trustees, for approval, the appointment of members to the Main Boards and the Committees reporting to the Board.
(e) To review the nominations and ballots for the election of members of Council and the Main Boards.
(f) To ensure that Younger members are adequately represented on the IET’s Boards and Committees and to ensure that the geographical background of Board and Committee members reflects the distribution of members worldwide.
(g) To make recommendations to the Board of Trustees for:
the election of Honorary Fellows; and
the award of the Faraday Medal.
(h) To advise the President when considering those to be nominated for honours and awards made by other bodies.
(i) To consider other matters referred to it from time to time.
(j) To report to the Board of Trustees.
(a) To approve on behalf of the Board of Trustees:
(i) The employment contracts, annual salary review and any termination agreements for the Chief Executive, his/her immediate subordinates and other key staff. For information purposes the Committee will also receive details of the salaries of the senior management. Whilst the Chief Executive is solely responsible for determining salaries at this level, the provision of such information could be required for due diligence purposes.
(ii) Employment policy for all staff, including pension schemes, and any general arrangements for performance related pay.
(iii) Annual salary budget.
(iv) Fees and other remuneration to be paid to any Trustee for any services to the IET (eg honoraria etc); such payments to be declared in the IET’s annual accounts.
(v) Any offer of a non-executive directorship or other external appointment to the Chief Executive or other senior staff, whether remunerated or not.
(b) To consider the Chief Executive’s recommendations on the treatment of material benefits associated with employment of any member of staff.
(c) To report to the Board of Trustees. A formal report to be submitted annually for noting by the Trustees. The content of these reports should be broadly based and provide information such as the nature of salary changes and not the salary details of individuals.
(a) To ensure that the current and future members' interests collectively are best served by the IET, provided that the Board's actions always are consistent with the IET's charitable objectives.
(b) To formulate strategies for the delivery of services to members and to the profession through Local Networks.
(c) To keep under review the services which the IET delivers to members and make recommendations accordingly.
(d) In consultation with the Qualifications Board, to set targets and formulate strategies for the recruitment of members, and ensure efficient and effective implementation thereof.
(e) To set targets and formulate strategies for the retention of members, and ensure that Local Networks play a full, efficient and effective part in this process.
(f) To approve Local Networks’ business plans, monitor implementation thereof and give direction accordingly.
(g) In consultation with the other Main Boards, to co-ordinate the formulation of the IET's international development strategy; and accordingly to target for development key areas of the world in which to recruit members and establish a local IET presence.
(h) In consultation with the Technical and Professional Services Board, to co-ordinate and develop products and services for delivery world-wide.
(i) To liaise as necessary with the Publications Board on any professional development issues.
(j) To assist Local Networks to maintain active Younger members and Student Sections and develop their participants into the volunteers of the future.
(k) To establish sub-committees as appropriate.
(l) To report to the Board of Trustees.
(a) To keep under review the policies, strategies and operations of IET’s publishing activities, across the full range of IET primary and secondary (INSPEC) publications including standards and technology titles.
(b) To advise on content and programme development throughout IET publishing.
(c) To scrutinise business plans of the IET publishing division and present them to the Board of Trustees for approval.
(d) To liaise as necessary with the Membership and Regions Board and the Qualifications Board on any professional development issues and with the Technical and Professional Board on editorial policy and content issues.
(e) To report to the Board of Trustees.
The Qualifications Board will provide qualification products and related services which both meet the IET's Charter objectives and are of value to the IET's stakeholders (members, employers, educators, future members and the public).
1. Award of the CEng, IEng and EngTech qualifications as a licensed member of EC(UK).
2. Provision of products and support services for Professional Development for all members.
3. Development of qualifications to meet the needs of all stakeholders.
4. Award of FIET.
5. Award of IET Scholarships.
The Board has the delegated authority of the Board of Trustees to:
1. define, develop and deliver the qualifying role of the IET to meet the objectives of the IET Corporate Plan;
2. advise on IET policy for the professional development of members;
3. meet the regulatory requirements for the award of the CEng, IEng and EngTech qualifications in accordance with Bye-law 15.
The Board liaises as necessary with the Publications Board on any professional development issues.
It is the responsibility of the Board to ensure that policy recommendations are made to the Board of Trustees which:
1. meet the needs of IET stakeholders;
2. can be implemented by operations committees;
3. meet the regulatory responsibilities of the IET;
4. meet IET Charter objectives.
Technical and Professional Services Board
(a) To be responsible for the IET’s activities in creating and disseminating knowledge for members and other stakeholders and maintaining the IET as a world class provider of knowledge services products.
(b) To set the IET’s strategy for technical and professional services products.
(c) To keep under review the technical and professional services activities of the IET and to make recommendations to the Board of Trustees on policy in this field.
(d) To be responsible for encouraging engagement with the IET's technical and professional services activities.
(e) To create, co-ordinate, guide and monitor any Committees reporting to it.
(f) To approve proposals for the establishment of IET Networks, regularly monitor their performance, take necessary action to ensure their effectiveness and, when necessary, to close them down.
(g) To approve the membership of Network Executive Teams and to monitor succession arrangements for Executive Team members.
(h) To receive and consider the business plans and budgets of the technical and professional services Departments and submit them to the Board of Trustees for approval, and monitor performance against these, interacting with the Networks Management and Development Working Party as appropriate.
(i) To define metrics for the operation of the IET’s technical and professional services activities.
(j) To liaise with the Membership and Regions Board on promoting and delivering technical and professional services products through the Local Networks, the Publications Board on editorial policy and content, and the Qualifications Board on professional development issues.
(k) To arrange for named lectures and lectures of broad interest outside of the programme of the IET Networks.
(l) To make nominations and approve recommendations for the award of premiums and medals and certificates for achievement, except for the Faraday Medal.
(m) To report to the Board of Trustees.
(a) To encourage Younger members and their sections to continue to be innovative, dynamic and pro-active within the IET.
(b) To confer Younger members’ Awards as recommended by the Premiums Sub-Committee.
(c) To ensure that Younger members throughout the IET are catered for by:
(i) providing opportunities for exchange of views;
(ii) sharing of best practice and ideas;
(iii) developing and piloting new ideas;
(iv) assisting sections with motivational issues and achievement of their objectives;
(v) providing a support network.
(d) To provide Younger members input and views regarding policy, strategic direction, products and services. This will be achieved by:
(i) ensuring active involvement of recently involved and capable Younger members in Boards, Committees and initiatives across the Institution;
(ii) delivery of papers to relevant Boards and Committees on Younger member and other issues;
(iii) nomination of competent Younger members to other Boards and Committees;
(iv) review of recruitment and retention activities targeted at Younger members.
(e) To interface and working with other bodies worldwide.
(f) To report to the Board of Trustees.