Novozymes has established measures to facilitate the prevention of, detection of, and reaction to noncompliance with Novozymes’ policies and standards on business ethics and integrity. Novozymes' business integrity principles outline what it means not wanting to engage in corruption, addressing the elements of bribes, facilitation payments, money laundering, protection money, gifts, and political and charitable contributions. We correspondingly hope to inspire Novozymes' business partners and other stakeholders to take a clear stand against corruption.
Initiatives & activities
All Novozymes employee groups have been presented with mandatory training in Novozymes’ business integrity principles. Furthermore, all new employees are given the booklet "Bribery - No Thanks!"
, and are presented to interactive training that offers a proactive approach to dilemmas related to bribery and corruption is available for all employee groups.
Guidance and advice given regionally and at corporate HQ
All employees have access to guidance from regional finance directors and are able to anonymously raise concerns about business ethics and anticorruption through the Ombudsman – a person appointed to investigate complaints made by employees - including possible breaches of our integrity principles.
External whistleblower mechanism
All employees have access to guidance and to raising concerns about business ethics and anticorruption, including possible breaches of our integrity principles, anonymously. Novozymes' Whistleblower Hotline is hosted by an independent third party in order to ensure a straightforward, confidential, secure, and convenient way of reporting. All incoming reports will be forwarded to Novozymes' General Counsel for review and investigation.
Business integrity principles covering suppliers
Novozymes’ business integrity principles are part of our approach to responsible purchasing and are included as part of the sustainability evaluation of supplier performance. Suppliers are evaluated on whether they prevent corruption and bribery from taking place in all aspects of their business operations.
Business integrity principles do not directly cover all other business partners such as agents, distributors, etc. at this point. However, adherence to Novozymes’ business integrity standards is included in distributor contracts.
Novozymes has developed a code of conduct for corporate citizenship and sponsorships outlining the optimal areas for our sponsorships and contributions globally. The code of conduct aims to guide our efforts globally, while granting the local sites a high level of flexibility to engage in local activities. Currently, Novozymes does not report externally on spend on corporate citizenship activities and sponsorships. Please refer to Novozymes’ approach to corporate citizenship.
Management system & guidelines
Touch the world - vision and values
The basic rules for Novozymes’ business conduct are described in Touch the World, providing the general direction, and our policies (Financial and legal policy, Sustainability policy) and standards providing the foundation for conducting our business operations in a responsible way.
Business integrity principles
Novozymes has a corporate management standard on business integrity, outlining six business integrity principles and a business integrity management system. The former clarifies our values of responsibility, openness, and honesty, while the latter enables employees to seek guidance and anonymously raise concerns about potential breaches of the principles.
Committee on business integrity
A designated committee on business integrity follows up on training, handles reporting of business integrity related matters, and responds to guidance requests from employees. Cases are reported to the Sustainability Development Board, consisting of vice presidents from all business units, on a semiannual basis.
Furthermore, material business integrity matters are reported to the Audit Committee quarterly. Read more about the responsibilities of The Committee on Business Integrity
Targets & KPIs
- Training of employees: 100% coverage of all employee groups.
Employee coverage and training:
- All new employees are introduced to Novozymes' Business Integrity standards.
- All new employees are given the booklet "Bribery - No Thanks!".
- All existing employee groups have been presented with training in 2011/2012.
Supplier coverage and training:
- In 2012, 90% of purchasing spend coverage must be assessed according to our business integrity standards.
- In 2012, action plans for all suppliers noncompliant with Novozymes' standards, which were developed in 2011, will be finalized in order to improve performance.
- All new suppliers must receive a letter with our supplier guidelines as well as our booklet "Bribery - No Thanks!".
- All new suppliers are introduced to the business integrity standards in a welcome letter and are included in the supplier approval process and in the evaluation criteria.
- Noncompliant suppliers must be placed on an issue list and subsequently addressed with an action plan as well as ongoing follow-up.
- Novozymes’ 2013 business integrity performance.
- Number of fraud cases in 2012: 13, leading to the dismissal of all 13 employees out of whom 5 were reported to the police (Note 8.4 - Training and compliance in The Novozymes Report 2013)
- In 2013, 97% of total purchase spend was covered by the system.
- 79% of all Novozymes' employees have attended mandatory training in Novozymes' business integrity principles in 2013.
- In 2012, we finalized 11 supplier action plans developed for noncompliant suppliers in 2011 through dialogue with suppliers on mitigating actions or, in a few cases, discontinuing further purchases from selected suppliers.