Orizon Sustainability and ESG Initiatives
ORIZON
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ABOUT US
NATURAL CAPITAL
GOVERNANCE
HUMAN CAPITAL
SOCIAL PLATFORM
PERFORMANCE
GRI SUMMARY
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RISK MANAGEMENT
Orizon's Risk Management Policy establishes and disseminates principles,
directives and responsibilities that should be observed in the Company's
management of risk, thus enabling the identification, assessment, handling,
monitoring and communication of risks that are inherent to the company's
activities and which could affect its ability to meet its objectives.
The methodology for the identification, evaluation and management
of risks adopted by the Company has been adapted based upon the
Enterprise Risk Management Framework Committee of Sponsoring
Organizations of the Treadway Commission (ERM-Coso) and on the
risk management process suggested by the ISO 31000:2018 norm,
using the three lines of defense model.
1ST LINE OF
DEFENSE
2ND LINE
OF DEFENSE
This is associated with the Company's business line of defense and
includes all those who are directly responsible for executing the controls
and implementing the responses to the risks. The risk owners are members
of the business areas.
This refers to those responsible for the Company's controls, being responsible
for establishing the Risk Management directives and supervising their
fulfillment. Falling into this category is the Risk and Compliance Management
department, responsible for corporate risk control, internal controls and
compliance. This area of management, the members of which do not
assume operational activities, reports to the Audit Committee regarding
the activities related to risk management, internal controls and compliance.
3RD LINE OF
DEFENSE
This is the Internal Auditing department, which is responsible for assessing,
testing and supervising the adherence, compliance and effectiveness of the
Company's Risk Management process, as well as gauging the quality and
effectiveness of the internal controls and governance. The Internal Audit
department reports to the Board of Directors through the Audit Committee.
A study on the level of risks is conducted every year to gauge the evolution of
the Company, taking the form of an internal audit performed by an outsourced
firm, with the results being submitted to the Audit Committee for analysis
and evaluation. The commercial, legal, financial, information technology
(IT), environmental, compliance and regulatory risks were evaluated in the
Internal Audit Plan (PAINT 2021/22).
Orizon also performs tax risk management, working on the contractual
relations with suppliers, clients and public administration departments.
These risks are identified and monitored by means of a process that involves
the tracking and revision of the tax processes, which in turn involve the
calculation of taxes, classification of the tax regime, updating of the legal
regulations, classification of the commodities and services, inspection of
the fiscal documents and cross-referencing of supplementary declarations.
The efficiency of the fiscal control is reflected in the effectiveness of the
operations, reliability of the financial statements, compliance with current
legislation and financial efficiency. GRI 207-2View entire presentation