NWG // SUSTAINABILITY REPORT
Governance Governance, roles, responsibilities, and information management The primary responsibility for sustainability efforts and overall strategy lies with the Board of Directors, which approves strategies, goals, and policies. The overall responsibility for targets and follow-ups lies with the Group management and the CSR and sustainability manager, who oversee the impacts, risks, and opportunities. The Group management regularly reports to the Board according to established routines. For more details on the Board’ s composition and working methods, see pages 42-43.
In 2024, the Board and Group management have among other things addressed significant impacts, risks, and opportunities related to climate change, environmental impact in production, and social responsibility in a global value chain.
Integration in incentive schemes New Wave Group has established guidelines for the remuneration of senior executives, including the promotion of the company’ s sustainability efforts as a criterion for variable compensation. Guidelines for the remuneration of senior executives can be found on page 86.
Due diligence New Wave Group has due diligence processes across the entire group and value chain to identify risks and impacts, both social and environmental, and to prevent, reduce, and address such issues in line with the UN Guiding Principles( UNGP). The process includes the following activities:
# Policy development. Establishing and applying relevant policies in daily operations.
# Identification and assessment of negative impacts. Through materiality analysis, stakeholder dialogues, supplier mapping, supplier visits, and risk assessment tools within the frameworks of amfori BSCI( Business Social Compliance Initiative) and BEPI( Business Environmental Performance Initiative). 1
# Complaints and incident handling. New Wave Group has a whistleblowing function enabling employees, shareholders, consultants, suppliers, and other stakeholders to safely and anonymously report misconduct. Business partners are expected to have equivalent complaints systems at the operational level.
# Stop, prevent, or mitigate negative impacts. Including capacity building, internal and external audits( by third parties) and visits, agreements and requirements, collaboration and communication with stakeholders, partnerships and networks.
# Follow-Up on implementation and results. Through internal and external audits( by third parties) and visits, documentation collection, test results and certifications, quality controls, collaboration and communication with stakeholders.
# Communication of actions taken. Through sustainability reporting, stakeholder collaboration and communication, reporting to stakeholders, presentations and lectures.
Risk management and internal controls regarding sustainability reporting The Group management, along with the CSR and sustainability manager, is responsible for identifying and prioritizing risk areas through a thorough mapping of the processes contributing to reporting, such as data collection, processing, analysis, and reporting. Risks include, among other things, insufficient data quality, incorrect methodologies, unclear allocation of responsibilities, and inadequate documentation.
The company has implemented system support for digitized and automated data collection from the group’ s subsidiaries. Additional system support aimed at improving data quality as well as traceability and transparency throughout the value chain is currently being implemented.
Furthermore, efforts are underway to expand the processes for internal controls over financial reporting to also include sustainability data and sustainability reporting. Information regarding risk management and internal control in relation to financial reporting can be found in its entirety on pages 44 – 46.
Strategy Strategy, business model and value chain
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New Wave Group is a member of amfori, an international organization where companies all over the world collaborate to improve working conditions and environmental impact in production countries. For more information, please visit www. amfori. org.
060 // ANNUAL REPORT