Our board & ELT sustainability responsibility
Our board of directors is responsible for overseeing Arxada’s strategy, risk management and corporate reporting. The board is comprised of ten members, including three independent members (two of whom joined our board in January 2022), four members from Bain Capital and three from Cinven. The board does not include members of our Executive Leadership Team (ELT) responsible for the daily management of our business.
Forming part of our wider governance and reporting to the board, we have three committees in place: an audit committee, a people committee and a sustainability committee. In 2022, the sustainability committee focused on developing our sustainability strategy and associated targets; in 2023, the focus will be on the strategy’s institutionalization and execution. To support our sustainability committee and progress on our sustainability strategy, we also have a two-person sustainability team which reports to our Chief Technology and Sustainability Officer.
Demonstrating our commitment to driving positive impact, we linked the remuneration of our ELT members to our safety performance. As we were still defining our sustainability strategy in 2022, we included Arxada’s safety performance as part of our short-term incentive program. With our strategy now finalized, in 2023 we will consider how to further integrate sustainability-related metrics into our remuneration and incentive program.
Business ethics
Our policies form the foundation of our ethical business conduct by setting standards for our employees and suppliers, who are expected to adhere to our policies and act with integrity. The foundations of our principles and values for ethical behavior are set out in our Code of Conduct.
In 2022 we introduced several new ethics and compliance policies, including a Code of Conduct, Anti-Bribery Policy, Business Gift Policy, Antitrust Policy and Whistleblower and Non-Retaliation Policy. We initiated a new compliance program that requires our employees to undergo an annual training on the Code of Conduct. They will also be trained in two to three rotating topics. We have customized our training programs, ensuring that employees receive content that is relevant and thorough. Training provided in 2022 included Code of Conduct, Anti-Bribery and Conflicts of Interest. In 2023, we are training on Antitrust, Harassment, Confidential Information and Computer Security.
Expanding on our global training and policies, we will provide training that is targeted and region-specific. This may be based on potential compliance risks identified for a region or the need to adhere to specific local laws and regulations. For example, we created and implemented region-specific policies for our Chinese sites that are available in the local language.
We regularly communicate the importance of compliance and business ethics through training, written materials and our Arxada intranet. All employees have access to our whistleblower program, which includes a hotline and an online portal. The program is available 24/7, in all our operating languages, to allow employees to flag compliance issues they may observe. Employees who raise concerns and compliance issues are protected through our Whistleblower and Non-Retaliation Policy, ensuring anonymity.
We have suspended all business operations in Russia since 1 April 2022. Our business in Russia represented an exceedingly small proportion of our operations, consisting of four employees working in our sales group. We have no manufacturing facilities in either Russia or Ukraine, nor do we receive any strategic raw materials from these countries. So far, the conflict has had only an extremely limited business impact on markets outside this region. As part of the global humanitarian effort that has been mobilized in response to the crisis, Arxada donated USD 100,000 to the International Medical Corps — an independent, not-for-profit organization that operates worldwide to provide emergency relief and long-term support to those affected by war, disaster and disease.Navigating business in a complex & interconnected world