In line with Barloworld’s risk management philosophy – issued by the chief executive and endorsed by the directorate – we have a responsibility to manage our risks and opportunities in the interests of our stakeholders. This is part of our mission to create sustainable value.
To support our philosophy, we have an ongoing systematic, multi-tiered and enterprise-wide risk assessment process. This ensures that risks and opportunities are identified, prioritised, evaluated and managed at the appropriate level in each business unit. Our top risks are dealt with at group level.
Divisional boards and senior Barloworld managers also carry out regular risk assessments. They identify critical business, operational, financial and compliance challenges, while also rating the quality of risk control.
Integrated risk management
As Barloworld develops new businesses and expands into further markets and territories, we are faced with increasingly complex and changing environments.
By integrating our risk management process with our Shared Value approach, we optimise our risk-return trade-off. This improves our sustainability, competitiveness, growth and employment of capital.
Legal and risk services department
Our Legal and Risk Services department oversees the whole assessment process, taking into account strategic direction, ongoing improvement and technical assistance.
Barloworld’s independent external financial auditors and internal auditors continually check for robustness and thoroughness, which they comment on in their own assessment reports.
Risk appetite levels
Risk appetite levels are set in all Barloworld business units, which vary depending on the units’ nature, scope and size.
We have protected our directors and officers against claims of environmental degradation, provided that they always act in good faith and in line with the law.