LensCrafters 2013 Annual Report Download - page 65

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The foregoing is without prejudice to the supervisory and control duties, which are by law
reserved to the Board of Statutory Auditors, while the auditing is assigned to an external
auditing company in accordance with Italian regulations.
In the first meeting of the Board of Directors since its renewal, it confirmed the Chief
Executive Officer as the officer responsible for the internal control and risk management
system.
In particular, it is the responsibility of the Chief Executive Officer to implement the
guidelines set by the Board, identifying the main risks to the Company, by planning,
implementing and managing the internal control system, and regularly assessing its overall
adequacy, efficiency and effectiveness. The Chief Executive Officer is also responsible for
the adjustment of the system to the changes in the operational conditions and of the legal and
regulatory framework through the support of the relevant corporate structures.
The Chief Risk and Compliance Officer (CR&CO) of the Group, who reports directly to
the Chief executive Officer, was appointed in 2010, and is called upon to (i) work together
with the corporate functions of the Group through his/her organizational structure in order to
guarantee the implementation of an efficient risk management system and (ii) identify,
monitor and control the primary risks as well as the consistent alignment of processes,
procedures and, more generally, the conduct and corporate activities within the applicable
legal framework and Code of Ethics adopted by the Group. To fulfill these tasks the CR&CO
makes use of a Corporate Risk Manager, a Corporate Compliance Manager and similar
relocated structures, in particular, for the protection and coordination of activities in the U.S.
During 2013, this role was held on an interim basis by the General Manager Central
Corporate Functions. Effective January 1, 2014, the Company appointed the Group Risk
Management & Compliance Director (who reports directly to the General Manager Central
Corporate Functions) as a replacement for the CR&CO.
With regard corporate risk management, since 2011 a new Enterprise Risk Management
process based on the following features and in line with the models and best practices
recognized internationally has been implemented:
• the definition of a Risk Model for the Group, which classifies the risk factors that may
compromise the attainment of corporate objectives (strategic, contextual, operative,
financial and compliance);
• the development of a risk assessment and risk analysis methodology to measure
exposures in terms of impact and probability of occurrence;
• the collection, analysis and aggregation of data and information necessary for
processing a Risk Report for the Group directed to the top management of the
company.