Governance, strategy, objectives and risks
Our sustainable business strategy and our sustainable business goals contribute to our profitable business.
Holmen's sustainable business strategy
Holmen has a sustainable business strategy, which proves that our business is sustainable in itself. The more we grow and refine our forest, the better it is for the climate.
Goals and management by objectives
Sustainable business objectives
At Holmen, we do not distinguish between business objectives and sustainability objectives, but we have sustainable business objectives.
Through our sustainable business objectives, we will create values that will last over time. At the same time, we will contribute to a better climate.
Read more about our sustainable business objectives here.
Model for management by objectives
Holmen’s Group-wide management by objectives process is a structured way of applying management by objectives day to day. On the basis of the business area’s strategy, every part of the organisation sets out its objectives, critical success factors and key performance indicators.
Organisation and management
Since Holmen has a sustainable business model, the CEO's responsibility also includes Holmen's sustainability management as it is equated with Holmen's operational management.
In accordance with Holmen's governance model, our business areas are responsible for their operations and work in accordance with the overall strategy developed jointly by Group management and the Board. Group management monitors operations and achieved results quarterly in business reviews.
Important development areas for Holmen are driven by the Group's staffs through a network of specialist competencies, as well as our sustainability work.
Holmen's forum for surrounding world analysis; Holmen Sustainability Council (HSC), is managed by Holmen's Technical Director (member of Group Management) and consists of a representative from each Group staff and each business area.
Read more about our organisation and governance
Holmens sustainable business strategy
Policy and Code of Conduct
Holmen’s Code of Conduct, policies and guidelines clarify and emphasise the requirements and expectations we have of Holmen’s employees. Together with the legislation in the country in question, these steering documents guide Holmen’s actions in various areas.
Holmen’s good reputation as a responsible and trustworthy company is fundamental to our business. Our operations must be characterised by responsible behaviour internally among and towards employees, and externally towards shareholders, customers, suppliers, stakeholders, public authorities and the surrounding community. This is why Holmen has a clear Code of Conduct which applies to all business relations.
We encourage our business partners to act in line with this code and we take this into account when choosing who we work with.
Holmen’s Core Values
Holmen strives to be a company distinguished by employees whose courage, commitment and responsibility ensures that they perform at their best. The Group-wide core values provide a stable foundation and are felt to be a great help to the business in all sorts of ways. Cooperation within and between teams i developed through discussions on the core values and key behaviours. The values also provide support and assistance in decision-making. Forging shared values is a long-term and ongoing process, and work on this has to be integrated with other business development activities on the ground.
Our values impregnate everything we do. Please read more about our values and open business culture.
COURAGE to act. Holmen’s employees are action oriented and make decisions that lead to tangible results. The company rewards innovative thinking that leads to improvements and solves challenges. The Group believes in transparency internally within the company and with the surrounding community.
COMMITMENT that is long term and sustainable. Holmen’s employees work across boundaries and exploit skills, ideas and synergies. Holmen acts with clarity so that each employee understands what is required and expected of them. Everyone in the Group shows respect for each other and the world around us, and gives each other feedback in an approachable and constructive way.
RESPONSIBILITY based on sensitivity and skills. Holmen’s employees create participation by involving each other, sharing ideas and providing opportunities to exercise influence. Holmen takes action at an early stage and demonstrates drive when tackling challenges from the environment in which we operate and is proactive about improvement. Holmen’s employees are professional in the way in which we run and develop our operations and we foster sustainable relationships with customers, stakeholders, colleagues and the surrounding community.
Risk management
Sustainability risks
Holmens sustainability risks are presented in the groups business and operational risks, as well as in our annual report.
The business areas are responsible for their own operations and manage any environmental, energy, health and safety, and quality risks within the framework of Holmen’s various management systems and our investment process. Regular risk management is carried out regarding the environment, energy, climate, health and safety, quality, security and chemicals handling.
In addition, an extensive risk analysis was carried out a few years ago, and this forms the basis for Holmen’s development and updating of Group-wide policies in areas such as business ethics, purchasing, HR, human rights, the environment, energy, etc.
More information about risk management is presented in our sustainability report.
Insurance of facilities and forests
Safety risk management is coordinated by a Group-wide body. The risks of damage at Holmen facilities can be minimised by damage prevention measures, regular maintenance, continuous upgrades and more effective administrative procedures. Holmen insures its facilities at replacement value against damage to property and interruption of business. The insurance excess varies from one facility to another but the maximum is SEK 30 million for a single claim. The Group has liability insurance that also covers sudden and unexpected environmental damage affecting third parties.
The Group’s forest holdings are not insured. The areas of forest are spread across large parts of the country, and the risk of extensive simultaneous damage is deemed to be very low.