Governance

Sound governance is fundamental to building trust and operating responsibly and successfully. It is a cornerstone of our ability to achieve our mission and secure long-term and sustainable value for our stakeholders.

medmix is subject to the laws of Switzerland, in particular Swiss corporate and stock exchange laws. The company also applies the Swiss Code of Best Practice for Corporate Governance.

The governance structure enables our strategy and supports our commitments. Our environmental, social and governance (ESG) and sustainability strategies and performance are discussed by the Executive Committee but also reviewed, and formally approved when required, by the Board of Directors. medmix takes a multilayered approach to ESG and sustainability, which ensures that ESG and sustainability considerations, including climate-related risks and opportunities, are integrated within all aspects of the business. Climate-related issues, risks and opportunities are part of our overall sustainability strategy, and they are identified and managed through the Enterprise Risk Management (ERM) process.

medmix has identified 14 non-financial material topics, including climate change, data protection, consumer safety, and business integrity. These topics address ESG risks and reinforce medmix’ commitment to responsible and sustainable business practices. The risk and opportunity management of the 14 non-financial material topics is integrated into the annual Enterprise Risk Management (ERM) process.

medmix conducts an annual Enterprise Risk Management (ERM) process, led by the Chief Compliance Officer and involving dedicated risk champions and risk owners from across the segments and functions. This process takes a holistic view of risks and opportunities across the organization. Guided by ISO 31000 methodologies, the ERM process categorizes, prioritizes and assesses risks for 14 specific non-financial material topics based on their potential impact, including financial, legal, reputational and social dimensions. All risks and their ratings are tracked in a central risk registry. For more information on the Enterprise Risk Management process please consult the Risk management and compliance section.

For risks rated as moderate, significant or critical, a risk treatment strategy is developed. Strategies may include avoiding the risk, removing its source, mitigating its impact, transferring the risk or accepting it. Progress on risk treatment actions is monitored by the Chief Compliance Officer in collaboration with the risk owners and risk champions, with regular reviews to ensure effective implementation.

The Chief Compliance Officer provides regular updates on significant risks and developments to the Audit Committee. One Audit Committee meeting annually is dedicated to presenting the comprehensive results of the ERM process, which are subsequently also presented to the Board of Directors, ensuring strategic alignment and oversight.

ESG and sustainability, including climate change, are a regular standing agenda item for the Board of Directors. This ensures that progress is presented to the Board of Directors at least once a year, with a focus on the targets for the coming year(s). For each resolution to be taken by the Board of Directors, written documentation is distributed to the members of the Board of Directors ahead of the meeting. The Board of Directors meets as often as required. The Board of Directors meets at least five times per year, and during this reporting period, the Board of Directors was consulted once for its strategic guidance and its performance evaluation of medmix’ sustainability and ESG initiatives.

Sustainability and ESG are represented at the Executive Committee through the ownership of the Chief HR and Sustainability Officer, supported by dedicated resources. A sustainability team led by the Global Sustainability Lead, reporting directly to the Chief HR and Sustainability Officer, coordinates all activities – including risk evaluation and management, strategy definition, oversight and management of the climate-related transition plan, target setting, project implementation and target evaluation – in direct collaboration with the respective members of the extended Executive Team heading the various businesses and functions. As a result, sustainability is directly integrated into the medmix strategy for product development and innovation (e.g., by increasing the focus on use of less raw materials, use of recycled materials, etc.), into the medmix procurement strategy (e.g., purchasing of low-carbon energy, minimum ESG and sustainability commitments from suppliers, etc.) and into medmix’ own operational sustainability targets (e.g., energy consumption, zero waste to landfill, etc.). These fall under the responsibility of the Chief Operating Officer and are implemented locally by the site heads.

ESG metrics are built into our compensation framework, and we track performance indicators related to corruption; the environment, especially climate-related; social matters; employees; and human rights.

Full details of medmix’ corporate governance can be found in the corresponding section of this report.