Governance

For Lafarge, sustainable development and ethics can only be meaningful if all levels of our organization are committed: from the Executive Committee and our managers to all employees at operational level. By applying these principles, we ensure the sustainability of our performance.

A commitment at all levels within the Group

Our sustainability agenda is driven from the very highest level within the Group. The Group Executive Committee validates sustainability strategy and policies, in accordance with the Group's vision and values, and meets every year with our Stakeholder Panel. There is also a dedicated Strategy, Development and Sustainable Development Committee within the Board.

At Group level, a dedicated team :

oversees the implementation of this strategy at country level and provides operational support to our site managers ;
carries out rigorous reporting and monitors our progress towards achieving our Sustainability Ambitions 2020 ;
liaises with stakeholders such as extra-financial rating agencies, non-governmental organizations, business associations and public authorities.

Sustainable development is an integral part of every manager's personal objectives and every industrial site has environmental targets, part of a group-wide Environmental Management System.

Integrating business ethics into our governance

Business ethics is embedded into our governance principles and is the framework for our social and environmental responsibility. It is also a core part of our risk management systems. Our Code of Business Conduct was first established in 2004 and covers a wide range of areas, including:

compliance with laws and regulations on free competition and trade,
corruption and insider trading,
conflicts of interest,
health and safety,
prevention of discrimination and harassment,
and respect for the environment.

Our Code of Business Conduct states that Human Rights must be addressed in business-decision making. In addition, we adhere to the major business ethics frameworks born from the United Nations:

the Universal Declaration on Human Rights,
the Declaration on the Rights of Indigenous People,
and the Guiding Principles on Business and Human Rights (also known as the "Ruggie principles").

The Group Executive Committee and Country CEOs are ultimately responsible for ensuring that business ethics policies are implemented in our strategies and operations, under continuous monitoring by the Board of Directors, which also continuously reviews our corporate governance.