Internal Control

Integration of the Process Management, the Internal Control System and the Risk Management System

Business growth and rapid change required a review of the management approach to the business processes and their interaction with the internal control system and the risk management system.

To streamline the business processes and boost performance while maintaining quality and costs at the same level, we launched the “Processes Help” project in 2022. The project introduced a systematic and integrated approach to the business process management that factors in risks and control procedures. The integrated model of the Company will set up an environment for change and enhancement of its activities. The model will allow for auditing the business processes and evaluating the efficiency of the internal control system.

The key objectives of the project are:

to revise the architecture of the business processes, taking into account the Russian and international best practices

to ameliorate the integrated platform for all initiatives to modify the Company’s activities, primarily to devise interaction between the business processes in a single system

to develop an up-to-date regulatory framework for the business processes, the risk management and the internal control

to build up a tool for accumulating knowledge on maintaining and bettering the business processes

to implement regular audits of the business processes to identify areas of issues and process growth fields

to launch an on-going analysis and testing of the control procedures, including risks and deviations in the business process indicators

A unified business process management system, inclusive of risks and control procedures, allows:

to broaden transparency, manageability and controllability of the Company’s activities at all levels

to determine and eliminate challenging areas of the business processes, and thus to bring down processes costs

to carry out regular activities in order to manage operational risks through continuous training, optimisation of business processes and upgrades of software products

to involve the Company’s employees in the active development of the process approach, taking into account risks and control procedures, as well as in further streamlining of the business processes themselves

The Company has already updated the Internal Control Policy and the Risk Management Policy, featuring the new approach to integrating the business process management, the internal control and the risk management systems.