Tetra Laval International (TLI) is the financial support and control function for the Board. This includes responsibility for areas such as the corporate governance, Group financing and treasury, financial planning and reporting, M&A, tax, internal audit, insurance, leasing and holdings administration. TLI manages the internal control aspects of these responsibilities by means of Group policies applicable throughout the Group. A complete review and enhancement of these policies was completed in 2016 and training related to main areas will be delivered across the Group in 2017. TLI manages Group financing, the foreign exchange and interest rate risks of the Group within a mandate approved by the Board. This continues to be important in the context of continued major market volatility impacting the global economy.
The Group has continued to demonstrate its sound risk management policies and resilience under the challenging conditions faced in a number of markets. In 2016, a detailed cyber security review was performed throughout the Group resulting in new procedures being adopted. Standard financing solutions to support Group sales of capital equipment have been developed and are being expanded in cooperation with banking partners.
Performance of the different businesses of the Group and return generated on capital employed continue to be monitored closely. Capital allocation remains an area of considerable Board attention, with initiatives focusing on R&D, restructuring and productivity in 2017.
In 2017, TLI has launched projects to upgrade its financing platforms and to leverage the Group’s risk management methodology and processes. 2017 sees continued focus on competence development to ensure TLI has the appropriate professional skills to support these evolving business and technical needs.
The team at TLI remains focused on delivering to a highly professional and effective level in each of its areas of expertise and its impact on the long term performance of the Group.
These functions are responsible for their respective area throughout the Tetra Laval group.