Governance & Human rights

Ensuring sound governance practices at all levels is a key part of our sustainability work. Our Code of Conduct defines a common set of rules for sustainable business.

The highest decision-making authority at Baltic Scandinavian Shipping lies with the Board of Directors, which is chaired by the CEO of Aspo Group. The board members are external to the company and provide support to the operational business management. There were no changes to the Board of Directors in 2022. By the end of 2022, Baltic Scandinavian Shipping’s management team comprised seven members.

Sustainability efforts within the group are led by the Managing Director, in line with the group’s ESG Policy. The management team has distributed specific ESG responsibilities among its members: Kirsi Ylärinne (environment), Mikko Rausti (social), and Petter Ruda (governance).

Baltic Scandinavian Shipping is also actively involved in industrial cooperation. Managing Director Mikki Koskinen serves as Chairman of the Board of the Finnish Shipowners’ Association and is a member of the Board at the International Chamber of Shipping. Additionally, Frida Rowland serves as a member of the Board of the Swedish Shipowners’ Association.

Compliance at ESL Shipping

At Baltic Scandinavian Shipping, compliance means adhering to all necessary laws and regulations, internal guidelines from our compliance manual, Aspo Group's Code of Conduct, and the UN Global Compact principles. This robust commitment ensures that we conduct business with integrity and transparency at every level. The CFO is responsible for overseeing the company's compliance efforts, ensuring that we meet both legal and ethical obligations. A critical part of our compliance strategy involves knowing our counterparties. We use advanced tools to thoroughly check for potential sanction risks and assess the solvency of all business partners. No business activities proceed without first evaluating these risks to avoid any legal or financial pitfalls. Additionally, we continuously monitor the sanction risks of ongoing partnerships, recognizing that sanctions can evolve rapidly, and new risks can arise unexpectedly. Our internal guidelines reinforce accountability by setting clear monetary limits on what individual employees and management team members can approve. All financial transactions require dual approval, ensuring that no decisions are made unilaterally. This system of checks and balances not only safeguards our operations but also reinforces the trust our partners and stakeholders place in us

Cybersecurity and IT risk management

At Baltic Scandinavian Shipping, we maintain a strict zero-tolerance policy toward bribery and corruption. Our vessels operate globally and occasionally call at ports in regions where corruption may be prevalent. Nonetheless, we firmly uphold our prohibition against any form of bribery or corruption as outlined in our Code of Conduct. To ensure all personnel are well-prepared to handle unethical situations, comprehensive Code of Conduct training is provided. In 2022, all of Baltic Scandinavian Shipping's shore personnel successfully completed this training. As proud members of the Maritime Anti-Corruption Network (MACN), a global alliance of over 180 shipping companies and institutions working to combat corruption, we recognize the importance of collective action. Although most of our vessels trade in Northern Europe, we acknowledge the risks posed by corruption in certain regions where we occasionally operate. To mitigate these risks, particularly in relation to corruption, bribery, and security concerns, our safety department conducts thorough risk assessments before port calls, utilizing sources such as the MACN database. We equip our vessels with detailed information and provide clear guidance on managing and minimizing potential risks effectively. In line with our commitment to transparency, we have a whistleblowing channel in place for employees and stakeholders to report any policy violations. In 2023, two reports were received through this channel. These were handled in accordance with the Group's procedures and mainly concerned minor internal policy breaches. No cases of fraud or confirmed incidents related to bribery or corruption were identified in the investigations.

Handling of personal data

At Baltic Scandinavian Shipping, we collect only the personal data necessary for contract performance and employment purposes. Our Privacy Statement and Cookie Policy, available on our website, outline how we process visitor data. We strictly comply with GDPR regulations and provide mandatory training modules to ensure that all employees are informed about GDPR compliance. For our employees, we collect personal data in accordance with our Employee Data Privacy Policy and legal requirements, ensuring we meet our obligations as an employer. The retention of employee data is carefully managed, with schedules based on the local laws in the countries where we operate. When we share personal data with third-party service providers, we ensure that a Data Processing Agreement (DPA) is in place before any data is exchanged, safeguarding the privacy and security of the information.

Whistleblowing system

At Baltic Scandinavian Shipping, our whistleblowing system is managed by an external company, ensuring complete anonymity for individuals who wish to report any behavior that contravenes our compliance requirements. A link to the whistleblowing system is prominently displayed on the websites of all three group companies. This system offers an opportunity to report suspicions of misconduct, allowing individuals to play a crucial role in addressing potential serious violations that need to be prevented or corrected. It is important to note that proof of suspicions is not required; however, all messages and reports must be made in good faith. Individuals can raise their concerns anonymously through our reporting channel, which is managed by a third-party service. This system is independent of our IT environment, ensuring that no IP addresses or identifying data are tracked. All messages sent through the system are encrypted and can only be decrypted by designated personnel within our organization. Importantly, the system provider cannot decrypt or read the messages, further safeguarding the anonymity of those reporting concerns. For our employees, we collect personal data in accordance with our Employee Data Privacy Policy and legal requirements, ensuring we meet our obligations as an employer. The retention of employee data is carefully managed, with schedules based on the local laws in the countries where we operate. When we share personal data with third-party service providers, we ensure that a Data Processing Agreement (DPA) is in place before any data is exchanged, safeguarding the privacy and security of the information.

Supplier Code of Conduct

The key tool in preventing corruption and bribery at Baltic Scandinavian Shipping is the responsible management of the supply chain. To ensure appropriate operating methods, we have established our own Supplier Code of Conduct, which all suppliers are required to comply with. A significant number of our partners are major international companies, many of which have been engaged in long-term cooperation with us. These companies often have their own established processes for the responsible management of supply chains, further enhancing our commitment to ethical practices and transparency in our operations.