Business Ethics

The Code of Conduct has been used as the basis for the new Sustainable Procurement Policy and Supplier Code of Conduct which will be used for all new suppliers and a robust roll out program is being devised for current suppliers. According to the Code of Conduct, ITAB has a zero tolerance policy regarding all forms of bribery and corruption. ITAB regularly reviews and evaluates internal checks in all subsidiaries, which provides reasonable assurance of an appropriate and effective operation, reliable financial reporting and compliance with laws and ordinances.

The managing director of each individual company within the ITAB Group is responsible for ensuring compliance with local regulations. All of ITAB’s employees are covered by the Group-wide Code of Conduct, and everyone also has to sign to confirm that they are complying with the Code. The Code of Conduct focuses on aspects such as the importance of each and every employee, the fact that the Group offers a safe and healthy working environment and that it is working to reduce its environmental impact. It also points out that ITAB stands for straightforward, honest communication and that all employees have to respect commercial confidentiality. If an issue relating to business ethics arises at company level, there is a system in place detailing how employees should report directly to the Group and how such issues will be handled.

By the end of the year, around 94 percent of the Group’s employees had signed up to the Code of Conduct. ITAB’s objective is for everyone in the Group to sign the Code. Generally speaking, when a new employee joins one of the Group’s companies, it is the responsibility of their immediate superior to ensure that the employee studies and signs up to the Code of Conduct. To support this going forward ITAB has committed to a short and long term goal. In 2022 the target is to have more than 95 percent of all employees signed and the goal is that 100 percent of all employees will sign the Code of Conduct with 6 weeks of joining the company.

No known cases of corruption have been discovered in the Group during the year. ITAB has conducted separate reviews and training in respect of anti-corruption, primarily in countries where the Group is facing the greatest risks. Following on from this good work ITAB has now added short and long term goals and targets to expand this work.

Looking at our supply chain ITAB wants to audit 100 percent of suppliers in high risk countries by the end of 2022, with a goal of auditing all suppliers in high and medium risk countries by 2025. Assessment of country risk will done using the

Transparency.org rankings and takes into account government ownership, government officials involvement and the industry sector. Also using the same country ranking we are committing to conduct Business Ethics training in all high risk countries by the end of 2022 and all employees by the end of 2025.

In line with the new EU laws on whistleblowing, ITAB updates its processes and tools derived from the recent legislation changes.

ITAB’s tool for internal control is based on the COSO framework. This is a framework for evaluating a company’s internal control over financial reporting. The framework streamlines the work on the internal control. The internal audit programme has been revised during the year, primarily on the basis of business risks. The internal audit now also covers the following up of the sustainability programme and the Code of Conduct.

 

Please read more in ITAB’s Sustainability Report.