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RISKS AND CONTROL
2. Internal control
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SAINT-GOBAIN
- REGISTRATION DOCUMENT 2016
Organization of the Group’s consolidation process
2.5.6
directly to the Group Consolidation and Reporting Department.
The consolidation is organized by consolidation levels with hierarchical relationships with the head of each Sector, and reporting
HOLDING
COMPANIES
DELEGATIONS
BASE
High-Performance
Materials
Flat Glass
Building
Distribution
Innovative
Materials
Construction
Products
the accounts
Processing information and control of
2.5.7
submitted to General Management every month.
timetable set by the Company. The account packages are
Each subsidiary submits its accounts in accordance with the
consolidation adjustments. These consolidated accounts are
General Delegation concerned, then transmitted to the
checked and processed at Sector level, reviewed by the
of the Group’s accounts and records the necessary
Consolidation Department, which performs an overall review
standards.
the external auditors in accordance with professional auditing
The consolidated financial statements are then examined by
Consolidation tools
2.5.8
matrix management structure. The software is regularly
and highly secure database that is aligned with the Group’s
updated to guarantee the financial information system’s
consolidation software equipped with a powerful, efficient
The consolidated financial statements are prepared using
been put in place to ensure that the overall system is secure,
sustainability. A tightly controlled access procedure has also
quarter.
and a comprehensive access review is performed every
levels of consolidation and transparently centralizing data in
This tool is capable of managing a database with several
the Group database.
Group’s intranet for Group general management and the
It feeds data into a secure reporting system accessible on the
contributing to internal control of information output.
management of the Sectors and General Delegations,
A reporting process that contributes
2.5.9
statements
to the reliability of financial
balance sheets are reviewed by finance executives from the
interim consolidated financial statements are reliable. Hard
The monthly reporting process ensures that the annual and
workload at June 30 and December 31. Hard close results and
closes are performed at May 31 and October 31, to reduce the
any errors and their adjustment during the actual close.
accounts are then analyzed before the final closing dates of
as the annual and interim financial statements. The entity’s
auditors. This procedure helps to ensure early detection of
June 30 and December 31 and are reviewed by the external
in the same detail and in accordance with the same principles
Finance Department, the Sectors and the General Delegations
A consolidated report is prepared each month for the
and analyses of material events over the period.
Company’s general management, with supporting comments