SCA’s Board determines the Group’s strategic direction based on recommendations from Corporate Senior Management. The responsibility for long-term and overall management of strategic risks follows the company’s delegation scheme, from the Board to the President, and from the President to the Business Unit Presidents.
This implies that most operational risks are managed by SCA’s business units at a local level, but are coordinated when deemed necessary. The tools for this work primarily comprise continuous reporting by the business units and the annual strategy process, which includes risk and risk management as part of the process.
The financial risks are managed in accordance with the Group’s finance policy.
SCA’s financial risk management is centralized, as is the case for the corporate internal bank for financial transactions of Group companies and management of the Group’s energy risks. The financial risks are managed in accordance with the Group’s finance policy, which is set by SCA’s Board and, together with SCA’s energy risk policy, comprises a framework for management activities. The risks are grouped and followed up on a regular basis to ensure compliance with these guidelines. SCA has also centralized the management of other risks.
SCA has established a corporate internal audit unit, which ensures that the organization complies with the Group’s policies.