The Sandvik Way
Sandvik’s corporate governance framework, The Sandvik Way, implements the external rules mentioned above and also sets out the internal rules and principles for governance that apply specifically within Sandvik. It is based on three building blocks, as set forth in the model below, and describes how common ways of working have been implemented throughout the entire organization.
This block outlines how the Sandvik Group is led and governed. The Board of Directors, elected at the Shareholders’ Meeting, sets the strategic direction for the Group. The President carries this out through the Group Executive Management whose members manage and oversee the operations of the Group. The main operational responsibility in the Group lies with the business areas and divisions, with Group functions responsible for functional policies and processes supporting the business.
The Sandvik Way is implemented in the respective business areas, with additional requirements cascaded down in the operational structure of each business area.
The detailed controls and risk frameworks common across the Group are detailed in this part. This includes many aspects such as strategy and risk management, policies, financial forecasting and scenario planning, as well as compliance, internal controls and audits. Performance management, controls and continuous improvements provide a solid basis for our ways of working.
This block sets the foundation for how we all shape our culture in the company and enable a customer oriented and responsible business. Our operational controls and risk frameworks are underpinned by the ambitions and requirements of our purpose, core values, Code of Conduct and leadership model.