+1 - Solvay

Mitigation efforts
Solvay considers environmental protection as a key aspect in the management of its activities. Well-defined pollution
and accident prevention measures have been in place at Solvay for a long time. Policies and risk control programs
are applied in all production units and other facilities, including newly acquired plants. The Group has, in particular,
taken the necessary steps to comply with regulations concerning major risks, which include detailed accidentprevention
measures. The Group has developed internal expertise in soil management. Hydrogeological studies
and soil characterizations are conducted systematically to diagnose potential problems, evaluate risks to aquifers
and discuss with the relevant authorities remediation or confinement actions. A number of such actions have been
completed or are underway.
9. Information and IT Risk
IT is integrated in the business to process and exchange information and to optimize business processes such as,
for example, industrial production unit controls and management, inventory management, supply chain management
and productivity enhancement. Therefore, IT choices and strategy strongly impact the business. The losses from
outages, service-level degradation or IT systems failure can raise business-continuity issues and can result in
the loss of revenue.
Business information is a real asset within the corporation that must be valued and protected by structured
processes like access management or controlled duplication. The two challenges regarding information assets are
to reduce the risks of accidental unavailability or loss and the risks of deliberate misuse, abuse and theft.
Mitigation efforts
Every employee is responsible for the appropriate management of information in compliance with the laws and
policies related to information and use of IT systems.
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Internal IT specialists manage and safeguard systems and their integrity, and support and train employees in
IT security, making regular back-up copies and safer use of the systems.
Some important IT systems are hosted and technically managed by external IT suppliers. The choice of these suppliers,
the contractual conditions and the level of services they can provide are crucial to reduce the risks linked to IT.
10. Reputational Risk
Reputation is a key asset. Loss of reputation can result in competitive disadvantage. The reputational risk deals with
the subjective, composite perception of a company by its different stakeholders. Trust is a fundamental ingredient to
reputation.
Mitigation efforts
Besides overall good management, control practices and systems, efficient communication (transparent, consistent
and timely) and long-term solid relationships, both inside and outside the organization, contribute in the long
run to establishing trust. Among those relationships, Solvay participates in specific programs in the US (through
the American Chemistry Council) and Europe (through CEFIC) to improve the reputation of the chemical industry.
Furthermore, communication processes, systems, plans and programs are established in order to create, develop
and maintain a regular flow of two-way communication with the main stakeholders: shareholders and the financial
community, employees, customers, authorities, local communities and opinion leaders directly or through press and
other media. Examples are the quarterly release of the Group’s results, internal magazines, websites, open doors,
meetings and events.
Clear values supported by the Code of Conduct, combined with a high level of Corporate Governance are
instrumental in reducing the reputational risk.
Specific management and communication systems exist to give early warning of developing crises and to ensure
an adequate response in the case of unexpected and sudden adverse events that can potentially harm
the Group’s reputation. Dedicated people are trained to face such situations while crisis simulations are organized
on a regular basis.
Solvay Global Annual Report 2007