Universal Registration Document Fiscal 2025

6.1 Definition and objectives of risk management and internal control

6.1 Definition and objectives of risk management and internal control

The purpose of Sodexo’s risk management and internal control systems are to:

  • protect the Group’s value, assets, business model, employees and reputation;
  • identify and assess the risks that could prevent the Group from achieving its strategic, operational and financial objectives;
  • anticipate and adapt to changes in the risk environment;
  • implement appropriate mitigation actions and risk transfer measures.

Sodexo’s risk management systems are designed to ensure that risks are:

  • properly identified, assessed and prioritized;
  • efficiently mitigated through appropriate actions and controls;
  • regularly reported, and monitored to ensure continuous improvement.

Sodexo’s internal control procedures are designed to give reasonable assurance that:

  • laws and regulations are complied with;
  • Group policies and guidelines are properly and consistently applied;
  • internal processes operate effectively and efficiently;
  • financial and sustainability reporting is reliable.

Internal control procedures also support the sound and efficient management of Sodexo’s operations and contribute to a culture of integrity, accountability and performance.

Group policies

As part of its risk governance framework and to support the achievement of its objectives, Sodexo has established a number of Group policies. These policies define the principles and standards to be applied across key areas, including responsible business conduct, fundamental human rights at work, health and safety, food safety, procurement, sustainability, information security, data protection, tax, delegations of authority and internal audit. Policies are reviewed and updated regularly.

Sodexo's Code of conduct

The Group’s standards for responsible business conduct are set out in the Code of conduct – Business integrity guide. Sodexo employees are expected to consistently uphold these standards, regardless of financial pressures, business objectives, or personal interests. Sodexo does not tolerate any practice that is not born of honesty, integrity and fairness, anywhere in the world where it does business.

In Fiscal 2024, the Code was completely renewed, to make it more accessible and easier to understand for all employees.

Statement for fundamental human rights

Sodexo is committed to respecting human rights wherever it does business. This commitment is supported by core policies and procedures which are based on international charters such as the Universal Declaration of Human Rights and the International Labor Organization’s Declaration of Fundamental Principles and Rights at Work. It is also based on the principles set out in the OECD Guidelines for Multinational Enterprises and the United Nations’ Guiding Principles on Business and Human Rights.

The Sodexo Statement of Respect for Human Rights defines standards for fundamental human rights at work. It covers the workplace, but also business relationships, communities, reporting concerns, due diligence and transparency. It is also accompanied by a guide and training that provides best practices and examples.

Health and safety policy and food safety policy

At Sodexo, we believe that all incidents are preventable. It starts with nurturing a "Zero Harm" health and safety culture. Our ambition is to be the safest place to work and the safest Company to do business with.

Sodexo’s Global Health and Safety and Food Safety policies outline our core principles and standards that shape our behaviors, responsibilities and commitments including:

  • complying with legal, regulatory and internal standards as a condition of employment;
  • identifying, evaluating and managing risks;
  • ensuring adequate resources, training and capability;
  • personal accountability for people and food safety by speaking up to challenge unsafe behavior, stop unsafe work and promptly report incidents, near-misses and unsafe conditions or behaviors;
  • fostering a "Zero Harm" mindset culture for people safety and for food safety from farm to fork;
  • protecting and promoting the safety of our food and the health of our consumers;
  • striving for operational excellence at every step in our health and safety and food processes;
  • monitoring and improving our health and safety and food safety performance.

Procurement policy

Sodexo’s priority is to ensure that suppliers and subcontractors that deliver Sodexo products and services have the right skills, capabilities and potential to carry out the tasks assigned to them.

Risk management guidelines set out the procurement procedures that teams are required to follow in terms of working with and managing suppliers and subcontractors. The level of the initial evaluation and the management procedures for suppliers and sub-contractors directly depend on the product supplied or service rendered. It includes verifying issues such as food safety and traceability, certification to conduct work, particularly in Facilities Management, along with financial due diligence checks.