2005 Annual report - Virbac
2005 Annual report - Virbac
2005 Annual report - Virbac
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52<br />
Christian Karst supervises the following departments:<br />
◆ Research and Development department (pharmaceutical<br />
and biological), responsible for drawing up the Group’s<br />
R&D strategy, implementing projects and coordinating the<br />
work of the research centres across the various geographic<br />
areas,<br />
◆ Corporate marketing department for companion animals,<br />
responsible for laying down the international development<br />
guidelines for the companion animals segment and the<br />
coordination of major product launches,<br />
◆ Licensing Department, the work of which mainly consists<br />
of acquiring or disposing of rights to active ingredients,<br />
finished products or products in development in line with<br />
Group strategy,<br />
◆ Medical department.<br />
Michel Garaudet supervises the following departments:<br />
◆ Financial affairs department, responsible for the Group’s<br />
financial policy, for preparing consolidated financial and<br />
accounting information, and for processes relating to<br />
budgetary and financial planning and financial controlling,<br />
◆ Legal department, responsible for company law, insurance<br />
policy, negotiations, drafting and managing contracts and<br />
suits.<br />
Jean-Pierre Dick has taken responsibility for:<br />
◆ The Presidency of the <strong>Virbac</strong> Foundation,<br />
◆ Communications and growing <strong>Virbac</strong>’s reputation<br />
through sponsorship.<br />
2.2.1.2 Specialised committees aiding the Executive<br />
board<br />
❖ Strategic committee<br />
The Strategic committee is chaired by the Chairman of the<br />
Executive board and comprised of the following<br />
departments, represented as follows:<br />
◆ Members of the Executive board,<br />
◆ Directors of the following areas: Europe, North America,<br />
Latin America, Asia and Sanza (South Africa, New<br />
Zealand and Australia),<br />
◆ Group Human resources department,<br />
◆ Industrial operations department,<br />
◆ Research and Development department. The Strategic<br />
committee gives its opinion on the Group’s major strategic<br />
decisions: strategy per business, function and major<br />
project.<br />
❖ Executive committee France<br />
The Executive committee is chaired by the Chairman of the<br />
Executive board and comprised of the following departments,<br />
represented as follows:<br />
◆ members of the Executive board,<br />
◆ Human resources department,<br />
◆ Industrial operations department France,<br />
◆ Research and Development department.<br />
◆ Communications department,<br />
◆ IS department,<br />
◆ Europe department,<br />
◆ Legal department.<br />
The Executive committee France is primarily responsible for<br />
deciding, coordinating and providing information on all issues<br />
affecting all the Group’s French companies and constitutes a<br />
platform from which to disseminate information within the<br />
various departments.<br />
2.2.1.3 Other parties aiding good risk management<br />
Building on the company culture, the Executive board<br />
implemented systems to anticipate and control risks within<br />
operating entities as well as action plans to limit the impact<br />
thereof. A policy of identifying and evaluating risks was put<br />
in place at the end of 2004 and continued in <strong>2005</strong>.<br />
The internal control system is also driven by the functions<br />
specifically and directly involved in these risk detection and<br />
management processes with ongoing goals of being<br />
proactive and preventive. The main areas affected are:<br />
❖ Finance<br />
The Financial affairs department is organised as follows:<br />
◆ a Financial services department, which manages the<br />
Treasury and Accounting departments.<br />
- the Treasury department partakes in the prevention<br />
system through the policy of reviewing and optimising the<br />
management of interest rate and exchange rate risks.<br />
With regard to the exposure to exchange rate risks in<br />
particular, the Financial affairs department forbids<br />
speculation and only allows the hedging of positions that,<br />
whether current or future, are certain,<br />
- as part of the transition to IFRS, the accounting<br />
department carried out an exhaustive inventory of<br />
operating and accounting practices and took the<br />
opportunity to review the instructions given to Group<br />
subsidiaries regarding the <strong>report</strong>ing of accounting and<br />
financial information. The need for complete transparency<br />
in all transactions to ensure proper recognition in the<br />
financial statements and a better handle on potential risks<br />
was reaffirmed.<br />
◆ a Financial control department organised around two<br />
poles: one centred on business (financial and budget,<br />
sales and marketing, R&D, production) <strong>report</strong>ing<br />
hierarchically to the Financial control department, itself<br />
part of the Financial affairs department and the other<br />
geographic (presence of a financial controller functionally<br />
<strong>report</strong>ing to the Financial affairs department in each<br />
area).