Centric Public Report 2020


How we mitigate risks:

Governance, Risk and Compliance

In a world that is constantly changing, the risk landscape is also changing. To manage business risks that could affect our organization, we use the Centric Risk and Control Framework. This page provides an overview of potential risks and what we do to mitigate them.

Governance

Gerard Sanderink ended his direct involvement as chairman and member of Centric’s board with effect from 1 January 2021.

Additional changes were made to Centric’s board in 2020 and the first half of 2021. These changes have now been fully implemented and the board is set to realise Centric’s strategic ambitions.

The following changes were made: · On 1 July 2020, a new CFO and a non-executive member joined the board. · On 1 March 2021, Centric’s board was reinforced with a new non-executive member. · On 1 August 2021, a new CEO took up his position on the board, succeeding the retiring CEO.

The risk management organisation

In setting up the risk management organisation, Centric employed the Three Lines Model. In this model, the first-line business roles are supported by the corporate second-line roles, and the internal audit organisation has an independent assurance role towards customers and Centric’s board.

Risks

Centric operates in a constantly evolving environment. Developments in the area of cybersecurity, data privacy and innovation (including migrating our software solutions to the cloud) are high on our risk agenda.

With a view to managing business risks, we have the Centric Risk and Control Framework.

These are the key risks Centric faces:

COVID-19

The COVID-19 pandemic has had a major impact on the world and, accordingly, also on Centric. Everyone has been forced to change their way of working, with Centric employees working from home as much as possible, in line with government guidance. Thanks to Centric’s excellent infrastructure for remote working, along with our employees’ flexibility, we have been able to guarantee the continuity of our services and those of our customers to the highest degree possible.

This approach to work also offers opportunities, and to profit from these Centric is working on a future-proof, more efficient way of working: Smart Working. Smart Working stands for a more flexible, location-independent way of working and work that offers more variety. The aim of Smart Working is to collaborate more efficiently and effectively. Despite the coronavirus pandemic, the results remained stable and Centric’s financial position (liquidity and solvency) is healthy.

Competitive capacity and strategy

Because we want to continue to live up to our reputation as a leading IT company in the future as well, in 2020/2021 Centric developed a strategy map showing the route for Centric’s further development over the coming years. Centric has set itself the goal of implementing major innovations while keeping the quality of the current services at a high level.

Market developments

Economic developments and market developments can negatively affect financial results. Centric aims to strike a balance in terms of the markets in which we operate and the activities we pursue. This diversification enables the company to absorb the negative effects in a specific market or region.

Rapidly changing technology

Changes to technology can potentially impact on our competitive edge. To remain a leading IT player, Centric makes full use of the opportunities offered by new proven technologies and the knowledge of leading partners in the IT world.

SaaS/cloud technology

Centric sees the use of SaaS/cloud technology as a good way to serve our customers better and faster. Accordingly, we are working on a future-proof and manageable reference architecture for the services and applications we provide.

Partnership with Microsoft

Centric is convinced that the cloud is the best future-oriented solution for many customers. By working strategically with Microsoft, we will be able to provide our customers with the best possible service in the future too.

Data privacy

In the area of compliance, specific attention needs to be paid to regulations relating to privacy (like the GDPR). Centric is constantly working on optimising its privacy programme. This programme is aimed at taking stock of and protecting the personal data of both customers and our own people. As part of the programme, the effectiveness of our privacy protection measures is assessed on an ongoing basis. Centric also uses standard data processing agreements for both customers and suppliers, in which we set out agreements on privacy protection and accountability on the measures that have been implemented.

Information security and cybersecurity

At Centric, we consider information security a crucial part of our operations and of the services we provide our customers. Robust information security is the basis of our reliability as a supplier, business partner and employer. Centric has therefore implemented an Information Security Baseline across the entire organisation. Using extensive control information and scorecards, we ensure the right level of information security within the various business operations.

Business continuity

Centric pays specific attention to managing the continuity of its business processes and the services it provides its customers. Business impact analyses are carried out on a regular basis and provide input for the specific activities and measures in the area of business continuity. The basic principle is that we align the activities that focus on the continuity of information provision, business activities and services to the risks, business operations, agreements and relevant laws and regulations.

Job market

Our people are of strategic importance to Centric. It is with this in mind that we spend a considerable amount of time on enhancing our attractiveness as an employer. Centric has various programmes that cater to employees’ changing expectations and preferences in terms of what they look for in an employer.

Centric also aims to:

  • increase employee satisfaction and keep it at a high level
  • create a culture in which learning is an intrinsic part of the job
  • support flexible working through the Smart Working concept

Business operations

To continue to play a leading role in the rapidly changing world of IT, business operations need to be aligned to today’s internal and external demands and information needs. It was exactly with this in mind that Centric developed its Harmony programme. This programme focuses on optimising the internal business processes, provision of information and implementation of a new Centric-wide ERP system.

Auditor change

Centric has changed auditors as of 2020. RSM has been engaged for the interim audit in 2020 and the audit of the 2020 financial statements.