Governance, risk and compliance at DKSH operate as multi-layered disciplines, aiming to ensure responsible behavior throughout the Group as well as protecting your business and our employees.
Governance and compliance – ensuring responsible behavior
We are firmly committed to lawful and ethical behavior and compliance with laws, regulations and international standards. Since 2008, DKSH has been operating a centralized compliance function which focuses on creating awareness and monitoring compliant behavior by all our staff.
We place great emphasis on adherence to our core compliance policies, such as our Code of Conduct, which clearly sets the standards of how we do business.
Our business operates along a clear Business Unit structure that runs across country borders. Due to the diversity of our business, compliance activities relating to specific operational business requirements are dealt with in a decentralized manner by specialist functions in the business, such as Regulatory Affairs in Business Unit Healthcare.
For governance and compliance matters, however, responsibility rests with the Head Country Management and local Country Management Teams. They are custodians for the execution of corporate policies and guidelines and to ensure compliance with local laws and regulations.
Some of our businesses are more exposed to the risks generally associated with being a service provider. Following a risk-based approach, we launched an enhanced Anti-bribery and Corruption policy in 2012, supported by global and local training programs. A comprehensive policy was also rolled out specifically for sales intermediaries as well as our specialists dealing with healthcare professionals.
Risk management – keeping your business and our people safe
Our centralized risk management function actively supports DKSH’s strategy for sustainable, profitable growth by focusing on key strategic risks for the Group, Business Units and countries. These risks are periodically reviewed jointly with the Executive Board and reported to the Board of Directors’ Audit Committee. Additionally, risk management processes have been implemented in all major country organizations, with a focus on our strong local functions that enable and support the various businesses in a country.
Risks are assessed, monitored and mitigated in a decentralized manner where they originate, either directly in the business or in the various corporate functions, such as Finance, Supply Chain, IT, HR, Legal and Compliance, or Communications.
In today’s interconnected and interdependent world, disruptions in the supply chain represent enormous risks to business. From a corporate perspective, we are addressing these risks by establishing Group-wide business continuity planning and crisis management. As the past years have shown, DKSH’s business model has proven to be highly resilient even in the event of natural disaster – like the extensive flooding in Thailand in 2011 – due to our high diversification and diligent risk management.
Furthermore, DKSH continues to transfer risks by securing adequate insurance coverage. Today, centrally managed and supervised insurance programs are in place to protect our asset base against significant losses and negative effects from business interruption.
As an international company operating in 37 markets, DKSH's Board of Directors has committed itself to maintaining the highest standards of integrity and transparency in its governance. In this, it is guided by the "Swiss Code of Best Practice" and the "Directive on Information Relating to Corporate governance" (DCG) by SIX Swiss Exchange.
Corporate Governance describes how our management is organized and how this is put into practice. It ultimately aims to lead us to success by protecting the interests of our shareholders while at the same time creating value for all stakeholders. Good Corporate Governance seeks to balance entrepreneurship, control and transparency, while supporting the company with efficient decision-making processes.