The principals of internal control
Internal control is under the Board of Director’s responsibility.
The CEO is in charge of the practical arrangements of internal control. Business operations are instructed and controlled with reporting- and prediction systems. The information covers the key sales projects, revenue, result and accounts receivables. The actual numbers of the business segments are monitored monthly. Predictable period for forecasts is from three to five months. The CEO presents monthly at the Board of Directors meeting an overview on business situation and development.
The goal of risk management is to systematically identify and recognize business-related risks as early as possible and to ensure that actions towards risks and changes can be made quickly on demand. Financial risks are administered concentrated at company’s financial department and on demand the risks are reported to the CEO. The asset risks, occupational safety risks and liability loss risks arising from business operations are covered with appropriate insurances.
The key uncertainties and risks in short term are related to the timing and pricing of business deals that are the basis for revenue, changes in the level of costs and the company’s ability to manage extensive contract agreements and deliveries.
The company has no specific internal audit organization. The finance department is in charge of the internal control. The goal is to make sure that the whole group has similar administration and accountancy.