Proactive Risk Management
Risk management is important to achieve our strategic goals and long-term sustainability. We are continually enhancing our risk management system to identify external and internal risks to develop right mitigation, especially in the current VuCA (Volatile, uncertain, Complex and Ambiguous) operating context.
We recognise that effective risk management and robust governance structures are fundamental in increasing organisations and stakeholders’ confidence in its ability to achieve its goals.
The infrastructure for risk and governance activities at the Company comprise the Enterprise Risk Management (ERM) framework. Our ERM is founded on sound organisation design principles. It helps in identifying, evaluating, managing, and reporting risks arising from our operations. It enables us to manage risks within acceptable limits by using risk mitigation techniques and allocating the necessary resources, thereby being resilient through volatile environments. Our ERM is designed to avoid incidents and maximise business outcomes by enabling the management to:
- Understand the risk environment and assess the potential exposure
- Manage overall potential exposure and determine risk mitigation strategies
- Monitor the effectiveness of the risk management
- Enhance controls and improve wherever necessary
- Report across the management chain all the way up to the Board on a periodic basis
Our ERM framework with its consistent and systematic approach for identifying and managing risk, both at the strategic and operational levels enabled the organisation to continue on its growth path. Deep culture of Risk Management that the organisation has achieved over the past years, based on clear accountabilities of risk and control, and backed by ongoing management processes including oversight by Board of Directors has enabled us to mitigate risks including the risk triggered by COVID-19.
Over the past few years, our Company has matured its Risk Management Framework which identifies, manages, monitor and reports both, the key risks, and the newly emerged risks – that can impact achievement of its strategic objectives.
It is customised for business segments and functions which enables effective management and governance of key risks and emerging risks. Risk management is reviewed based on the ever-changing external and internal environment to ensure decision-making is aligned with the organisation’s business strategy, improving the resilience of the organisation to generate sustainable value.
We leverage technological advancements to support the Risk Management Framework and it has significantly matured across all 4 major business segments.New businesses also adopt leading risk management technologies, processes, and the experience available in the Group to manage the risks better thus creating a common risk language to facilitate risk awareness across all in the organisation.