Assystem - 2018 Register document


Budgeting and management control The various operating units draft and present their strategy and annual budget to the executive management team. The Group’s annual budget is then approved by the Audit Committee and the Board of Directors. The Group’s executive management team and the Group Finance Department carry out a monthly analysis and cross-check of the various key reporting indicators in order to identify any variation from forecasts, detect any significant shortfalls (notably in terms of the gross margin on contracts, gross operating margin, the operational non-billing rate and client payment times) and propose remedial measures if required. Purchases Purchasing procedures are subject to separate controls at the following stages of the process: ● purchase of the equipment or service by the department concerned (general services, IT, etc.); ● validation of the service and/or delivery by the department concerned; ● validation of the payment authorisation and invoice by the Accounting Department based on the relevant documents. Payment of invoices is organised by the Accounting Department, which ensures that upstream controls have been carried out and checks, using sampling techniques, the information used as the basis for validating the invoices. The Group has a set of General Purchase Conditions, which have been reviewed, reinforced, and updated in line with the applicable The Group’s consolidated financial statements are prepared in accordance with International Financial Reporting Standards (IFRS), based on accounting data prepared under the responsibility of the heads of its operating units. Points of particular significance for the Group are dealt with centrally. For example, the Group Finance Department reviews the accounting treatment of disposals and acquisitions of assets and shares and the regular tests carried out on the value of the Company’s assets. Accounting The Group Finance Department coordinates the accounts closing processes and sends out any necessary memorandums and instructions to all consolidated entities. In addition, it meets regularly with the Statutory Auditors in order to present specific and significant transactions carried out during the year and the accounting options selected. Financing and cash management The Group has put in place a centralised management system for cash and investments, by setting up a cash pool and a Treasury Management System for entities in Eurozone countries and implementing other cash centralisation procedures for other entities. The Board of Directors defines the cash management policy on a yearly basis with the overall aim of guaranteeing the liquidity and security of investments. ● statement of needs by the internal client; regulations. Consolidation

resolution, inventory of promises to pay (and verification of invoice payments at the specified dates). Similar procedures, adapted on a case-by-case basis to the specific businesses and countries concerned, are implemented in the Group’s non-French entities. Consequently, the measures and procedures put in place to prevent client risks and to improve the effectiveness of trade receivables recovery allow the Group, as far as possible, to limit bad debts and ensure good generation of operating cash flow. In addition, the Group has strict internal rules that apply to all consolidated entities and which stipulate the revenue recognition procedures for the various types of activities and projects (mainly time and materials and fixed-fee projects). The Group has a set of General Terms and Conditions of Service, which have been reviewed, reinforced and updated in line with the applicable regulations and are systematically integrated into the bids it submits to clients in France. For international bids, specific terms and conditions of service are used, which are adapted to the country and risks concerned and are systematically reviewed by the Group’s Legal Affairs & Compliance Department. Real estate If new premises are required for particular operations, a statement of requirements is drawn up by the operations manager concerned, which is then validated by the head of the relevant Business Unit and forwarded to the General Services Department at Group and/or country level for processing and examination of the corresponding business case. The executive management team is subsequently responsible for analysing the project and validating the size and cost of the premises selected. The Procurement and General Resources Department then participates at various stages of the negotiation process to ensure that leases are effectively tracked, in France, and where necessary, in other countries. Regular budget reviews concerning premises both in and outside France are carried out so that information can be regularly exchanged between the General Services and Management Control Departments and that data on existing premises can be updated and current and future projects analysed. Delegations of authority The principles applicable to the delegations of authority put in place meet a three-fold objective: ● to raise the awareness of operations managers about their responsibilities in terms of health and safety; ● to create a power of representation for the Group for the benefit of operations managers; ● to set a precise framework within which operations managers exercise their authority (including the possibility of sub-delegation). The delegations mainly concern commitments directly related to operational areas (hiring of consultants or sales managers, signature of client contracts, dispute management, etc.). Bank signing powers are only partly delegated, in France and abroad, and for limited amounts.





Made with FlippingBook - Online Brochure Maker