Shared Responsibility - Npower

Corporate Responsibility Report 2003Corporate GovernanceThe Board of Directors recognises its responsibilityto customers, employees, Government,regulatory authorities, contractors, the public,the environment and stakeholders to manage thecompany in accordance with corporate governancebest practice. As a part of such compliance, theBoard aims to ensure that appropriate controlsare maintained with respect to all existing andfuture aspects of our activities. In particular,risk management processes are in place to meetthe requirements of the Turnbull guidance andthe latest Higgs guidance.BenchmarkingIn 2003 we were ranked 36 in the top 100‘Companies that Count’ by Business in theCommunity (BiTC) and achieved a score of 90%in their Corporate Responsibility Index (CRI),compared to last year’s score of 83%. We alsoachieved a score of 94% in the Business in theEnvironment Index, compared to last year’s scoreof 93%. Participation in these indices providesan excellent benchmark and allows us to identifykey strengths and weaknesses that need to beaddressed. It also demonstrates our commitmentto openness and transparency. During 2003 wefocused attention specifically on our communityprogramme as a result of feedback from the 2002CRI survey.Key Impacts and Risk AnalysisIntegrating corporate responsibility into ourbusiness decision-making processes means thatit forms part of the risk management process.We recognise that the value of our company is notbased solely upon its capital assets, but also onits brand and reputation. Our Risk ManagementCommittee (RMC) covers all the business units,includes members of the Corporate Responsibilityand Health and Safety Committees and is auditedexternally and internally. We have developed arisk management tool, through our involvementwith the SIGMA project, which focuses oncorporate responsibility risks. The SIGMA projectis a joint project between the British StandardsInstitution, the Institute for Social and EthicalAccountability, the DTI and Forum for the Future.We have identified risks and opportunities throughdialogue with key opinion formers and throughan internal workshop. We have reviewed keyreputational risks and those identified have beenfed into the RMC.Useful website linkswww.bitc.org.ukwww.projectsigma.com07