Corporate governance refers to all the principles related to a company’s long-term interests, which are designed to maintain the efficiency and decision-making ability of the executive level with the aim of ensuring transparency and an appropriate balance between leadership and control. For Hirslanden, the company’s good reputation is also at stake. Protecting this reputation, adhering to laws and norms, as well as maintaining people’s trust are the fundamental goals of good corporate governance, which rely on the coordination of all these functions.
Legal & Compliance
Legal & Compliance is an essential part of good corporate governance. Compliance ensures adherence to legal, regulatory and internal requirements and thereby influences the corporate culture, together with all the Hirslanden employees, while the internal legal department (Legal) performs supporting activities ranging from the provision of legal advice to contract management and process control. Compliance policies should help employees avoid conflicts of interest in their everyday work, create transparency and set up safeguards in such a way that employees consciously or unconsciously avoid breaching rules pertaining to individuals and the company as a whole. Through these efforts, Hirslanden is making a valuable contribution towards increasing trust in the Swiss healthcare system.
Internal developments and external implications constantly change the framework conditions affecting the Hirslanden Private Hospital Group. Even though this provides new opportunities, it also involves new risks which must be actively managed. Hence, Hirslanden PLC's Risk Management aims to recognise potential risks early on, assess them and take appropriate action to avert imminent damage for the organisation.
To meet this objective, Hirslanden PLC's risk management process was specially designed to ensure that complementary approaches are employed in all business divisions and units (Hirslanden Group, Corporate Office and hospitals) to validate strategic, financial and operative risks and their controls. This includes reporting of group-wide surveys, risk and control inventories as well as adhoc risk incidents for the attention of the management.
Hirslanden PLC's Internal Audit mandate is based on regulations of the existence of an internal control system, required compliances with standards such as REKOLE®, group-wide guidelines on the permanent functioning of control mechanisms and other drivers. Hereby, Internal Audit carries out risk-oriented audits independently as well as jointly with representatives of other Mediclinic platforms and the main shareholder's internal auditors on the basis of the Combined Assurance Model.
Internal Audit provides independent, objective auditing and advisory services to generate added value and improve business processes, which in turn helps the organisation to achieve its goals. By establishing a systematic and targeted approach, the efficacy of the governance, risk management and internal management/control processes is assessed and significantly improved as well.