06 May 2011 Building a Culture of Integrity in DNV Cecilie Hultmann, senior consultant, Det Norske Veritas (DNV)

© Det Norske Veritas AS. All rights reserved. 06 May Integrity at the core  Independent foundation established in 1864  Self-owned with no shareholders  We use profits to continuously develop our people and our research and innovation  Stakeholders are represented in our governing bodies and committees

© Det Norske Veritas AS. All rights reserved. 06 May Highly skilled people around the world 9,000 employees, of which 76% have university degree 300 offices 130 countries

© Det Norske Veritas AS. All rights reserved. 06 May Purpose: To safeguard life, property and the environment Vision: for a safe and sustainable future.

© Det Norske Veritas AS. All rights reserved. 06 May DNV’s core competence identify assess manage risk

© Det Norske Veritas AS. All rights reserved. 06 May Turning risks into rewards

© Det Norske Veritas AS. All rights reserved. 06 May Turn risks into rewards Manage risks Get relevant decision support Build trust and confidence towards stakeholders Achieve and maintain safe and sustainable performance BUSINESS RESPONSE

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© Det Norske Veritas AS. All rights reserved. 06 May A trusted player in shipping 15.5% 15.5% of the world’s sailing fleet is to DNV Class (in Gross Tonnes) 17% DNV classed 17% of the world fleet orderbook in 2009 (in Gross Tonnes) 130 Authorised by 130 national maritime authorities

© Det Norske Veritas AS. All rights reserved. 06 May Walk the talk Foundation established 1864 What we deliver How we work

© Det Norske Veritas AS. All rights reserved. 06 May CR in DNV Timeline 2002 CR Action Plan DNV signs partnership with Red Cross DNV signs UN Global Compact CR in DNVs strategy plan Ombudsman scheme established Anti-corruption instructions 1st TBL report published Country analysis instructions CR Action Plan DNV Members of Transparency International Dealing with Dilemmas Crossing the Line UN Global Compact - Climate change commitments 2008 CR Action Plan Reporting Misconduct Supply Chain management

© Det Norske Veritas AS. All rights reserved. 06 May Anti-corruption in DNV: Policies 2011 revision of policy documents  Corporate Responsibility policy  Code of Business Conduct  Code of Personal Conduct  Supplier Code of Conduct ”We condemn any form of bribery and corruption… We will not give or receive any gifts or other benefits which may be perceived as influencing our impartiality or business behaviour… We do not act in a way that can lead to dependence on other parties so that our integrity and impartiality may be hampered.”

© Det Norske Veritas AS. All rights reserved. 06 May Anti-corruption in DNV: Procedures  Independant Ombudsmann (DNVs CR Officer) – responsibility for receiving, recodring and handling reports made on actual or reported misconduct  New procedures for dealing with misconduct

© Det Norske Veritas AS. All rights reserved. 06 May Anti-corruption in DNV: dilemma training

© Det Norske Veritas AS. All rights reserved. 06 May Corporate integrity profile: Background and objectives Why an assessment of DNVs resistance towards fraud and corruption?  DNV is dependent on its brand and trust  As a global organisation DNV is exposed to fraud and corruption  A need to understand the robustness of the organisation  Measure improvements since last assessment in 2007 Objectives of the assessment  Assess how robust DNVs culture and systems are to deal with fraud and corruption  Assess DNV’s recent initiatives and whether they have increased DNV’s resistance towards F&C  Identify improvements areas

© Det Norske Veritas AS. All rights reserved. 06 May The 12 components of the assessment What's the culture and commitment from the top? How is this communicated and understood? 1 Do we know what the fraud and corruption risks are? 2 Do we do something about the risks once we have identified them? 3 Are internal controls effective in preventing and detecting fraud and corruption? 4 Are people aware of fraud and corruption risks? Have employees taken awareness programs? 5 Are identified risks systematically followed up when internal changes occurs ? 6 How effective and independent is the internal audit process with respect to F&C? 7 How effective is the monitoring of the executive board and senior management? 8 Has the organisation established an effective F&C monitoring and detection process? 9 How well is the organisation managing incidents of suspected fraud and corruption? 10 Is the organisation willing to learn from cases of fraud and corruption? 11 Is the review and reporting of F&C related risks managed systematically and is information disclosed to stakeholders? 12

© Det Norske Veritas AS. All rights reserved. 06 May Interviews Scope of interviews and scoring Benelux Corporate China Report and score Overall results for DNV China Benelux Scores: Score on elements 1,2, 3,4,5,6,9,10 and 11 is based on all interviews. Score on element 7, and 12 is mainly based on interviews from Corporate with control questions in all interviews Criteria for selection: Criteria for selection of units to be included have been:, DNV core businesses, high growth in markets, difference in size, locations not assessed in 2007, representatives from corporate level

© Det Norske Veritas AS. All rights reserved. 06 May Assessment process 18 Involvement Analysis Report Interviews Risk workshop Collect data Survey sent out to all participants Informal interviews with key personnel as a basis for a preliminary F&C risk assessment of DNV Risk workshop with selected key personnel Self assessment according to the 12 CIP elements Development of a F&C risk matrix and risk register Development of interview- guide Interviews at Høvik, Benelux and China incl F&C risk identification CIP profile for DNV CIP profile of China CIP profile of Benelux

© Det Norske Veritas AS. All rights reserved. 06 May Measuring and manage Integrity – DNV’s 12-components 19

© Det Norske Veritas AS. All rights reserved. 06 May Safeguarding life, property and the environment