The system of internal control and risk management adopted by the Company allows the identification, measurement, management and monitoring of the main risks to which the Group is exposed.
The system adopted by Brunello Cucinelli SpA is characterized by:
- segregation of duties;
- traceability of transactions;
- business, planning and control;
- wide range of inspections and tests.
- Board of Directors
It defines the guidelines for the internal control system and risk management, assessing regularly the adequacy and effectiveness. It also approves the work plan prepared by the Head of Internal Audit.
- Control and risks committee
It supports the assessments and decisions of the Board of Directors concerning the system of internal control and risk management
- DIRECTORS IN CHARGE OF THE INTERNAL CONTROL AND RISK MANAGEMENT SYSTEM (ICRMS)
He identifies the key business risks and implements the guidelines approved by the Board of Directors
- Head of Internal Audit
He checks the operation and the suitability of the system through an audit plan, he prepares reports and periodic papers to the administrator in charge of the internal control system and management risk and to the chairmen of the board of statutory auditors, of control and risk committee and of the board of directors.
- Board of statutory auditors
It monitors the effectiveness of the internal control system and risk management.
- Supervisory body ex D. Lgs. n. 231/2001
The Supervisory Body has the task of monitoring the functioning, updating and compliance of the "Model of management and organization" according to Italian Legislative Decree n. 231/2001. The purpose is to prevent the crimes provided for in said Decree; the Model identifies the risks of crime and the relevant penalties, providing adequate defenses designed to prevent the commission of the offense itself.
[*] Certain compliance functions and the internal audit function report hierarchically to the Board of Directors
The system of internal control is divided into 3 level
made directly by the heads of the various operational areas in order to identify, monitor, mitigate and report, in the first instance, the risks arising from ordinary business activities (the manufacturing activity and sales and distribution business)
Second level controls:
carried out by the departments directly involved in the management of typical risks of Brunello Cucinelli business
Third level controls:
carried out exclusively by the key business functions which are included in the internal control system of the Company. In this context, the Internal Audit Function plays a central role as it is called upon to determine, among others, the adequacy of the first two levels controls, through a continuous process of assessment and testing.