Page 72 - Sustainability Report 2019

CHAPTER 6 | Governance and monitoring of corporate ethics and risk management
The management of sustainability risks
The Ratti Group has an appropriate process for analysing the risks associated with the issues mentioned in Legislative Decree 254/2016. Responsibility for identifying and evaluating sustainability risks lies with the CEO of Ratti SpA, assisted by a team consisting of the heads of the Financial Administration and Control, Management Systems, and Internal Audit functions.
From an analysis of the strategic risks and the risks mapped to maintain environmental and energy certification (ISO14001 and ISO50001) and social accountability (SA8000), using mainly qualitative
evaluation, risks were identified that have a significant
potential impact on the activities of the Group or the stakeholders. The evaluation of the risks linked to aspects of the Decree is carried out for all Group companies.
The Group’s assessment was that risks of this type were not significant for Ratti USA and Ratti International Trading (Shanghai), given the dimension and nature of their activities.
There now follows a presentation of the main risks and the actions taken to mitigate them.
THE MAIN RISKS OF AN ENVIRONMENTAL NATURE
The main environmental risks were the pollution risk deriving from the management of waste and water discharges.
These risks were closely linked to the production of Ratti SpA, with a lower frequency at Textrom Srl. In particular, the phases of dyeing, washing, finishing and printing are the most delicate in terms of environmental impact, not least because of the use of chemical products.
In Creomoda and La Maison des Accessoires water is used only for civil purposes and the volume of waste produced is very limited. For more details of the environmental policy and specific projects undertaken see Chapter 4 “Ratti’s environmental commitment”.
Description of the main risks
Mitigation action taken
Risk of non-compliance with the applicable regulations concerning management
of waste and discharges, with possible financial and administrative sanctions and associated reputational damage for the local community and customers due to environmental pollution.
Ratti SpA has an environmental management system in line with the standard ISO14001:2015 and which was renewed in 2018. In addition, further analyses were carried out to adhere to the more restrictive voluntary protocols of the applicable ZDHC norms. Following consultation with an expert in environmental law, in 2019 a legislative framework was established in relation to the reuse and recycling of residual textiles from production. This allows Ratti to market textiles for lining that derives from the reuse and recycling of fabric scraps.
Textrom has an Environmental policy and a consultant tasked with ensuring compliance with applicable national legislation. In addition, in the first half of 2019 tests were concluded for the treatment of chemical products required to lower the amount of volatile organic compounds in the decantation tank.
Both in Ratti SpA and in Textrom Srl water discharges are channelled to public purification plants.
In Creomoda and La Maison des Accessories, even though such risks are negligible given the absence of production plant and the limited amount of material discarded, an Environmental policy was in any case adopted.
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