Annual Report 2021

Allocation of competences

The essential principles for the allocation of competences and responsibilities among the Board of Directors and Group Management are set forth in the organizational regulations. Below is a summary of the basic rules:

Board of Directors

  • Performs the non-transferable inalienable statutory tasks. The Board of Directors is therefore in particular responsible for strategic management of the company, giving necessary instructions and supervising Group Management;
  • Determines strategic, organizational, accounting, and financial planning guidelines;
  • Changes to the legal structure of the Group (especially incorporation of new subsidiary companies, acquisitions, joint ventures, as well as liquidation of companies);
  • Appointment and dismissal of the CEO, secretary, and members of Group Management and Chief Executive Officers of subsidiary companies;
  • Approves the budgets for the Group and the individual subsidiaries.

The Board of Directors has assigned the management of day-to-day business in accordance with the organizational regulations to the CEO and Group Management.


The CEO is the Chairman of Group Management and further responsible for procurement and forwarding of information to Group Management, the Executive Chairman of the Board of Directors, and the members of the Board of Directors. The CEO must also ensure that the decisions and instructions of the Board of Directors are executed by Group Management. Last, but not least, he is responsible for managing the operational business of the Group within the framework of its strategic objectives and for planning the overall business, and for reporting within the Group.

Group Management

Group Management is responsible for the implementation of the Group strategy. In addition, the individual members of Group Management must lead their allocated functional and responsibility areas within the framework of the Group policy in compliance with instructions given by the CEO and the Executive Chairman of the Board of Directors. On the basis of a matrix structure, the individual Group Management members are given line responsibility for entire country organizations and geographical areas, together with functional responsibility for specific specialist areas.