The purpose of Sodexo’s risk management and internal control systems are to:
Sodexo’s risk management systems are designed to ensure that risks are:
Sodexo’s internal control procedures are designed to give reasonable assurance that:
Internal control procedures also underpin the good and efficient management of Sodexo’s operations.
As part of its risk governance and management framework, Sodexo has established a number of Group policies. These policies cover subjects such as human resources development, finance, procurement, responsible business conduct, corporate responsibility, fundamental human rights at work, health safety and environment, information security, data protection and internal audit. Policies are regularly updated and approved by the Board of Directors.
The Group’s human resources priorities are:
The main human resources policies are focused on: the profile of a Sodexo leader and senior manager, succession planning for senior managers, senior managers’ training and skills enhancement, employee engagement, and compensation.
Annual tracking of improvement metrics by the Sodexo Leadership Team and Board of Directors serves to validate action plans aimed at advancing these policies. These metrics include employee Net Promoter Score, employee engagement rate, employee retention, employee absenteeism, internal promotion, and the representation of women in senior management.
Sodexo continually strives to go further in the area of diversity, equity and inclusion. The Group focuses on promoting gender balance throughout the business, and providing job opportunities for people with disabilities. It seeks to foster an inclusive culture for employees irrespective of ethnicity and race, and create a welcoming environment for people of all sexual orientations and identifications. It is mindful of the generation gaps that may arise when employees of multiple generations work together, and has created generational networks to support better understanding.
Sodexo’s financial objectives are twofold, namely:
Financial independence is a fundamental principle, because it enables the Group to hold firm to its values, pursue a long-term strategic vision, ensure management continuity and guarantee the business’ lasting success. Sodexo’s financial independence is guaranteed by the family shareholding. As of August 31, 2023, Sodexo’s family holding company, Bellon SA, held 42.8% of the shares and 57.9% of the exercisable voting rights. This financial independence is based on three simple principles:
Financial policies establish rules applicable to areas such as investment approvals, and the management of working capital, cash and debt. Sodexo's financial policies require all decisions involving external financing to be made by the Group Chief Financial Officer, the Chairwoman and Chief Executive Officer or the Board of Directors, depending on the amount and type of the transaction.
Financial policies are designed to prevent any speculative positions being taken and to avoid risk in connection with financing and cash management activities.
The objectives of the Procurement function are documented in the Group’s procurement policies and processes. The performance of Sodexo’s procurement teams in the main countries where it does business is measured through savings metrics, which enable the Group to gauge the impacts of procurement initiatives and demonstrate the savings achieved.
