In today’s business world, all companies, regardless of their size, business model and scope of activities, are required to understand and comply with a plethora of laws and regulations, including common law legal relationships with employees, creditors, and landlords; various licensing requirements imposed by federal,...
No business is without some sort of risk and overcoming those risks is the key to achieving an acceptable return on investment of capital, technology and human resources. Higher levels of risk drive investors to expect greater risk-adjusted returns in exchanging for providing capital to...
Lee and Shimpi noted that enterprise risk management (“ERM”) has emerged as an important and essential management practice and a recognized strategic discipline and that organizations have created ERM-specific roles, responsibilities and structures, notably the position of “chief risk officer” (“CRO”) that has taken its...
Compliance with laws and regulations applicable to the company’s business activities and identifying and managing the risks associated with those activities are two of the fundamental duties and obligations of the board of directors. The emergence of sustainability as a new factor for consideration in...
A joint report published as a preliminary draft in February 2018 by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) and the World Business Council for Sustainable Development (“WBCSD”) included a telling comparison of the results of surveys conducted by the World Economic...
It is essential for top management of the company to define the company’s environmental, health and safety ("EH&S") policy in a manner that is appropriate to the nature, scale and environmental impacts of the company’s operational activities. Among other things, the policy should include a...
In order for directors to understand the scope of their responsibilities with respect to overseeing sustainability and determine how to best focus their energies, an assessment must be conducted of the issues, risks and opportunities that are material to the company’s operations, environment and communities.[1] ...