Risks and risk management
Risk management helps ensure that any risks affecting the company’s business activities are identified in advance, the risks are controlled and prevented, and any risks that have already materialised are detected and their impact is minimised and rectified and any similar risks are avoided in future.
Risk management responsibilities
|Board of Directors
|The Board of Directors is responsible for organising risk management and ensuring its sufficiency as well as for adopting the principles of risk management.
|The Audit Committee assesses the appropriateness of the sufficiency of risk management and the key risk areas and prepares proposals for the Board of Directors accordingly.
|The CFO is responsible for the determination and enforcement of the principles of risk management as well as for the preparation and implementation of an action plan. The CFO reports to the Audit Committee and the Board of Directors. The CFO is also responsible for the annual risk evaluation, development and coordination of the risk management process, and the key insurance policy solutions.
|CEO and other management
|The CEO and other members of the Management Team ensure that the risks are considered in the planning processes, detected, predicted and managed. If necessary, materialised risks are reported as agreed.
|Segments and units
|Segments and units identify and evaluate the risks relevant to their respective areas of responsibility in their planning processes, prepare for the risks, take the necessary preventive measures and report on risks as agreed.
Risk management targets
The company aims to identify risks in advance and prevent them through risk management. Risk management is an integral part of the company’s business planning and management. It is part of daily decision-making, monitoring of company activities and internal supervision and helps promote and ensure that the set objectives are achieved.
The most important objective of risk management is to identify and assess risks, threats and possibilities that may impact the implementation of the company strategy and the achievement of both short- and long-term goals. These risks are generally operational risks. In addition, a separate risk report is always included in the most significant investment proposals.
Identified risks and their management measures are reported to the management and the Board of Directors annually. The key elements of the company’s risk management include the enforcement of a comprehensive risk management process supporting all business activities, protection of assets and ensuring business continuity as well as safety and its active improvement.
The risks have been described in more detail in the prospectus of 17 November 2022.