The Group Leadership Team (GLT) supports the CEO in managing the Company. Day-to-day operational responsibility rests with the GLT members and their operation teams supported by various staff and service functions.
The decision-making bodies with responsibility for managing Stora Enso are the Board and CEO.
The CEO is in charge of the day-to-day management of the Company in accordance with instructions and orders issued by the Board. It is the duty of the CEO to ensure that the Company’s accounting principles comply with the law and that financial matters are handled in a reliable manner.
The Board approves the main organisation, including the functions reporting to the CEO. In 2012 the CEO was directly in charge of the following functions, which also reported to him:
- CFO (responsible for Accounting & Controlling, Treasury, Risk Management, Taxes, Internal Audit, Investor Relations, Strategy, Corporate Finance and M&A
- Divisions (Printing and Living, Biomaterials, and Renewable Packaging)
- Global People and Organisation
- Global Ethics and Compliance, General Counsel
- Global Identity
- R&D and Capital Investments
The CEO is also responsible for preparatory work with regard to Board meetings. In addition, he/she supervises decisions regarding key personnel and other important operational matters.
The CFO acts as deputy to the CEO as defined in the Finnish Companies Act.
Group Leadership Team (GLT)
The GLT is chaired by the CEO. The GLT members are appointed by the CEO and approved by the Board. Currently, the nine GLT members are the CEO, the CFO, and the heads of the three divisions, Global People and Organisation, Global Ethics and Compliance (who is also General Counsel) and Global Identity as well as the Global Programme Director of the streamlining and simplification prject announced on 23 April 2013 (who is also responsible for Wood Supply operations in Finland and Sweden, Energy, Logistics and Business Information Services).
The GLT’s tasks and responsibilities are: review of key day-today operations and operational decisions, key leadership issues, investment proposals, planning and follow-up, control of mergers, acquisitions and divestments, preparation of strategic guidelines,
sustainability policies, allocation of resources and preparatory work with regard to Board meetings.
The GLT meets regularly every month, and as required.
The GET (Group Executive Team, as GLT was formerly known) had nine members at the end of 2012. The GET convened 14 times during the year, six times in person and eight times over the telephone. Important items on the agenda in 2012 were implementation of the new Business Area structure, safety issues, diversity and quality of the talent bench, company purpose and values, reviewing the operations of the Group, planning and following up on investment and other strategic projects, and preparatory work for Board meetings.
Divisions and other functions
Stora Enso business is operated through divisions (Biomaterials, Printing & Living and Renewable Packaging). The organisation has been recently rethought and the independence of the divisions increased, especially in respect of organising the Division resources and manning as well as deciding on usage of services offered by the service functions.
Group functions are corporate related functions that do not offer services to the divisions, whereas service functions offer services to the divisions. Each Division shall have independence in deciding whether and to what extent it utilises the offered services.
The investment planning is carried out by the divisions and, in case certain monetary thresholds are exceeded, reviewed by the Investment Working Group, consisting Group and Division representatives. The CEO and GLT are responsible for the investment allocations and decisions, as well as proposals to the Board of Directors.
The GLT is responsible for all policy issues relating to sustainability. Everyday sustainability issues are handled by Stora Enso’s Global Responsibility function together with the Global Ethics and Compliance function, Global People and Organisation function and divisions, which are responsible for the operational management of responsibility issues. The role of the Global Responsibility function is to develop, support and follow up on Stora Enso’s Global Responsibility strategy, and ensure that sustainability policies, guidelines and targets are duly realised.
The Company has established user boards for certain cross-functional service functions (Purchasing, Logistics, Business Information Services, Accounting Services, Energy and parts of Wood Supply). These user boards consist of representatives of the divisions using these services. The user boards supervise and steer the operations of the service functions in question.
The Company has also established proper disclosure policies and controls, and process for quarterly and other ongoing reporting.