Annual report - HSE

2.2.1 Management of the HSE Group
Establishment of HSE had two principal objectives: coordination of main activities and
utilisation of synergy effects among companies within the HSE Group. The main purpose
behind the establishment of HSE was performance of holding activities, i.e. to found,
finance and manage companies in which it would hold majority stakes. In the course of
its development, the desire for more intensive integration and exploitation of mutual
synergies grew further.
The Group prepares its strategic development concept on the basis of which it will fulfil its
vision to ensure a long-term competitiveness of the Group on the global energy market,
while at the same time expanding its activity and generate new synergetic effects. The
Strategic development concept of the HSE Group will help the Group to preserve its
mission, i.e. to maintain its leading role on the domestic market and to rank first on the
markets the SE Europe, to develop the Slovenian energy-based economy and science in
order to implement them internationally.
The HSE Group has to build on trust and recognisability. Improvement of our reputation
is the Group’s key challenge for the future. Corporate governance is, therefore, of great
importance. As a basic condition for better management and business practice, efficient risk
management, optimised organisational structure and mutual relationships in the Group,
corporate governance is undoubtedly the area that needs new foundations and renewed
strategy. The Strategic development concept of the HSE Group will redefine the Group’s
corporate governance. When the market circumstances change significantly, the business
system has to be prepared for immediate adjustment, in order to ensure the Group’s
existence, development and progress. The right choice in this are good management and
decisions that lead to:
• increased operating efficiency,
• maximised synergy effects,
• efficient risk management,
• establishment of adequate conditions for investments,
• reaching even better operating results,
• ensuring constant progress, innovations and development.
The idea of reorganising the HSE Group in terms of better quality and efficiency is not new.
This fact can be confirmed by the decisions of the Group’s strategic conferences as well as
other documents regarding its strategy and development. The content of these documents
clearly shows that a need for greater exploitation of synergies, equity consolidation and
more intensive coordination of activities exists.
Management bodies
The majority of subsidiaries in Slovenia are run by a single-member management or
management board. The subsidiary PV has a three-member Management Board, while
the companies abroad usually have a two-member management. Most companies are
supervised by a three-member supervisory board.
HSE manages the companies of the HSE Group through representatives in Supervisory
Boards of subsidiaries as well as through the committee responsible for supervision of
major investments.
Active supervision committee
HSE started establishing active supervision committees also in subsidiaries that are
exposed to greater risks due to intensive investment activities.
Worker participation in management
The HSE employees exercise their rights through trade unions, workers’ councils and
representatives in the Supervisory Board.
Annual Report HSE 2012
2 Business Report
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