Internal control seek to ensure that the Group’s operations are efficient and profitable, that reporting is consistent and reliable, and that the Group’s operating principles and all applicable legislation and regulations are observed.
The Board of Directors is responsible for ensuring that the Group’s internal controls and risk management are adequate for the scope of the company’s business operations, and that their supervision is appropriately organised. The Board supervises the President & CEO to ensure that he or she handles the company’s business operations and administration in accordance with the guidelines and instructions issued by the Board of Directors. In order to ensure adequate risk management, the Board of Directors discusses the Group’s business segment reviews and financial reports, as well as any substantial changes that have occurred in the company’s business. The Board’s Audit Committee also assesses the adequacy and appropriateness of internal controls and risk management.
The President & CEO is responsible for the practical organisation of internal controls. Among other duties, he or she ensures that the company’s accounting practices comply with the law and that asset management is handled in a reliable manner. Lemminkäinen’s business is organised into business segments whose executive vice presidents report to the President & CEO. The Group’s other directors and managers are responsible for internal controls within their own areas of responsibility.
Lemminkäinen controls and monitors its functions to ensure their efficiency and appropriateness, primarily through financial reports and business reviews prepared by management at the business area, business segment and Group level.
Updated 13.5.2013