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Strategy and management

Sustainability management

 


 Dmitry Goncharov, Chairman of the Strategy and Investment Committee, PJSC LSR Group:

 “At the heart of our approach is the provision of the highest levels of transparency and to ensure that the interests of all stakeholders are considered during our course of business”. 


 

Our effective corporate governance system is at the core of LSR Group’s activities. This system is continuously being improved, enabling LSR Group to achieve its strategic goals and improve its operational and financial efficiency.

Sustainability management is an integral part of PJSC LSR Group’s existing corporate governance system and is carried out across all organisational levels.

More information on the corporate governance system of LSR Group can be found on Investor Relations page in the section Corporate Governance

The Board of Directors and Board committees, together with the Executive Committee and the Chief Executive Officer, determine business priorities and exercise overall management of LSR Group, including its sustainability efforts. Centralised structural subdivisions of LSR Group are responsible for setting and implementing specific sustainability targets and activities. A separate structural subdivision, responsible for sustainable development, coordinates and monitors these activities.

Members of the Board of Directors and Executive Committee play an active role in sustainability management.In 2019 the meetings agenda included such topics as: the Sustainability report, Managing sustainable development of LSR Group, the Incentive programme, the HR report, the approval of policies in the sustainability area, reports on the compliance with the requirements of the occupational health, industrial and fire safety. 

 Improving effectiveness and transparency of sustainability management in 2019:

 

Stakeholder engagement

LSR Group’s priority is to strike a balance between the interests of our different stakeholder groups, and to respond promptly to their expectations, needs and concerns. In order to cultivate highly effective and sustainable cooperation with these groups, we employ tools and mechanisms to maximize communication and to ensure that the interests, needs, and expectations of each individual stakeholder group is taken into consideration. LSR Group also operates the Trust hotline, which any stakeholder can use anonymously to bring forward any concerns to LSR Group.

Risk management

Identifying, assessing, and managing risk in a timely fashion, including risk relating to sustainable development, allows LSR Group to meet key objectives and goals that will help secure its long-term success. LSR Group employs a multi-level risk management and internal control system, which contributes to its sustainability profile. Key sustainable development risks are risks associated with:

  • Occupational health and safety
  • Legislative changes
  • Human resources management
  • Violations of ethics and corrupt practices
  • Environmental impact management
  • Climate change
  • Customer relationships
  • Relationships with suppliers

 

Respecting human rights

The fundamental principles governing the activities of LSR Group include respect for human rights, which is enshrined nationally and internationally.

LSR Group is conscious of the importance of respecting and observing human rights, both in its relationships with its employees and with respect to external stakeholders who are affected by LSR Group’s activities or products: its partners, its suppliers and subcontractors, its customers, and people living in the LSR Group regions of presence.

The principles of respect for human rights are reflected in LSR Group’s fundamental internal documents concerning relations with employees and subcontractors and the regulation of social and other issues. 

«LSR Group» discloses information on the page on the Internet of LLC Interfax-TsRKI — the news agency accredited by the Central Bank of the Russian Federation to disclosure of information.
Information is available here.



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