Anti-Slavery and Human Trafficking Statement 2018
Alfa Financial Software Limited (“the Company”), a wholly owned subsidiary of Alfa Financial Software Holdings PLC (“Alfa”), is committed to continually improving its practices to combat slavery and human trafficking. Alfa and the Company has zero tolerance of modern slavery, in all its different forms, both in its business and in its supply chains.
This is the Company’s second Modern Slavery Statement in response to the Modern Slavery Act 2015 (‘the Act’). This statement sets out the steps taken during the financial year ended 31 December 2017 by the Company to prevent modern slavery and human trafficking in its business and supply chains. See the 2017 statement.
During 2018, the Company has continued to focus on increased monitoring and the ongoing enforcement of the systems and processes in place to prevent modern slavery and human trafficking. The Company remains committed to managing and mitigating the risk of modern slavery or human trafficking taking place anywhere in the business, or in any of its supply chains.
The term modern slavery is a broad one, and considers someone to be in modern slavery if he or she is in forced labour, servitude, slavery, human trafficking, debt bondage, forced or servile marriage, descent-based slavery or child exploitation. It is a global and growing issue. No sector or industry is exempt from the potential for modern slavery. Alfa has zero tolerance of modern slavery in all its forms, and has a responsibility to understand the risks in its business and supply chain and manage those risks accordingly.
The Company’s modern slavery statement is made pursuant to section 54(6) of the Act, and constitutes the Company’s anti-slavery and human trafficking statement for the financial year ending on 31 December 2018. Alfa aims to be transparent about its approach to modern slavery and this statement outlines its approach to tackling modern slavery where it can.
Our business and organisational structure
Alfa is a leading developer of mission-critical software for the asset finance industry, operating across more than 25 countries and with more than 300 employees as at 31 December 2018. Alfa’s global annual turnover was £71.0 million in the year ended 31 December 2018. The Company is a fully owned subsidiary of Alfa, which is listed on the main market of the London Stock Exchange and Alfa Financial Software Limited is the only company in the Alfa group which has revenues in excess of £36 million for the year ended 31 December 2018.
Modern slavery and human trafficking policies and framework
As a software company, Alfa does not use an extensive range of local or international suppliers where modern slavery or human trafficking would generally be a material risk. Additionally, none of its suppliers are considered key to the business’s ongoing success. However, Alfa is committed to acting ethically and with integrity in all of its business relationships, and to implementing and enforcing effective systems and controls to ensure slavery and human trafficking does not take place anywhere in the business or supply chains.
The Alfa policy to this effect is included in the Alfa Code of Conduct which details the policies in relation to ethics, anti-corruption and bribery. Alfa has undertaken a review of the anti-slavery internal controls during the year ended 31 December 2018, with the purpose of:
- Identifying, assessing and monitoring potential risk areas in the supply chains; and
- Mitigating the risk of slavery and human trafficking occurring in the supply chains.
Alfa has reviewed how it engages with its network of suppliers and what steps have been taken to understand how they comply with the requirements of the Act. Alfa’s Whistleblowing Policy also encourages its employees to speak up and report any wrongdoing.
This review has not led to revisions of the existing internal controls or policies. Alfa has also assessed its procurement process and policy to ensure that there is an appropriate approach taken to managing modern slavery in its supply chain and to set out its expectations of its supply chain partners. Alfa has primarily reviewed the supply chains for the UK business during 2018, as this falls directly within the definition of the Act. Additionally Alfa introduced secondary approvals for new suppliers or purchases across its overseas operations in the US, Europe, Australia and New Zealand with the purpose of increasing oversight of relationships with new business. Alfa does not believe that it currently operates in jurisdictions where the risk of modern slavery and human trafficking is specifically high.
Due diligence processes for slavery and human trafficking
As part of its initiative to identify and mitigate risk, Alfa has increased its focus on modern slavery within its wider business operations, and will continue to do so during 2019 and beyond.
Alfa has in place systems and processes to:
- Identify and assess potential risk areas in its supply chains;
- Mitigate the risk of slavery and human trafficking occurring in its supply chains;
- Monitor potential risk areas in its supply chains; and
- Protect whistleblowers.
During 2019 Alfa has undertaken a risk assessment of the top suppliers by expenditures, which includes the review and risk assessment of the industries and products / services that Alfa buys.
To ensure a high level of understanding of the risks of modern slavery and human trafficking in the supply chains and to the business, Alfa has providing either training or training updates on the modern slavery regulation to the relevant personnel or departments within the company who are directly involved in procurement or who have governance of procurement.
Alfa’s effectiveness in combating slavery and human trafficking
Alfa understands that it has a responsibility to continue to assess and mitigate the risk of modern slavery in its supply chain in the long term. While Alfa continues to make progress in this area, future developments will be to update understanding and reassess the nature of that risk, assessing whether policies and controls are appropriate and also to ensuring that controls to manage any risk are operating effectively if that risk arises. It is expected that the nature of the risk may change over time and ongoing vigilance will be required.
To assess effectiveness of controls to ensure modern slavery does not exist within any of the Alfa business activities, Alfa aims to, in 2019:
- Reassess any modern slavery risks identified in light of any changes to the way Alfa does business and put in place corrective actions in response to these risks in its business or supply chain as appropriate;
- Update modern slavery training and extend to all new Alfa team members; and
- Monitor government and other large companies’ perspectives on and approaches to modern slavery and actively consider their applicability to Alfa.
This statement is made pursuant to section 54(1) of the Modern Slavery Act 2015 and constitutes the Company’s slavery and human trafficking statement for the financial year ending 31 December 2018.
Signed by Andrew Denton on behalf of Alfa Financial Software Limited.
Date: 19 March 2019