Effective risk management is critical to the achievement of ESB’s strategic objectives and the long term sustainable growth of its business. The rapid changes taking place in ESB makes it all the more important to continuously reassess risks and have clear strategies to manage them. The Board has overall responsibility for the Group’s approach to risk.
Specifically the Board is responsible for:
- Ensuring that an adequate process is designed to identify the principal risks and uncertainties is in place.
- Embedding an appropriate risk culture throughout the Group.
- Oversight of the risk management and crisis management processes.
- Assessment of the likely effectiveness of management’s mitigation measures and controls.
The Board is aware that it must lead by example in shaping and supporting the Group values which underpin the approach to risk. The Board also wants to ensure that sufficient risk management skills and capabilities are available in the business and that the knowledge and experience of all the staff in ESB who understand the risks associated with operations are utilised.
Risk appetite may also vary over time and the Board has explicitly considered the level of this appetite and any deviation from its stated appetite for risk that the Group is prepared to accept in respect of specific risks