Page 109 - Tata_Chemicals_yearly-reports-2020-2021

Integrated Report Statutory Reports Financial Statements
1-59 Management Discussion and Analysis 147-300

The key roles and responsibilities regarding risk management Identification and review of risk appetite and risk trigger
in the Company are summarised as follows: (at Enterprise Level)
1. Board of Directors Implementation of Risk reduction strategies
Reviewing and guiding risk policy of the Company Formulating and deploying Risk Management Policy
Ensuring the integrity of the systems for risk management Deploying practices for identification, assessment,
monitoring, mitigation and reporting of risks
2. Risk Management Committee of the Board Providing updates to RMC from time to time on the
Overseeing the Company’s risk management process and enterprise risks and actions taken
controls
Setting strategic plans and objectives for risk management, 4. Risk Management Group at Business Unit (BU) Level/
risk philosophy and risk minimisation Subsidiary Level
Reviewing compliance with policies implemented by the Reviewing respective BU/Subsidiary risks from time to
Company time, initiating mitigation actions, identifying owners and
Reviewing risk assessment of the Company periodically reviewing progress
and exercising oversight of various risks including Strategic Identification and review of risk appetite and risk trigger
Risk, Operational Risk, Financial Risk, Regulatory Risk, Cyber (at BU/Subsidiary Level)
Security Risk, etc. Implementation of risk reduction strategies
Oversight of the Company’s risk tolerance and risk appetite Deploying Risk Management Policy
Report and update to the Board periodically on various Deploying practices for identification, assessment,
matters it has considered monitoring, mitigation and reporting of risks
Reviewing and analysing risk exposure related to specific Providing updates to RMG and RMC level from time to time
issues, concentrations and limit excesses and provide on the respective SBU risks and actions taken
oversight of risk across the organisation
5. Risk Owners
3. Risk Management Group at Senior Leadership Level Responsible for developing and acting on the risk
Identification and review of enterprise risks from time to mitigation plan
time, initiating mitigation actions, identifying owners and Providing periodic updates to RMC on risks with the
reviewing progress mitigation plan

Risk Categories
The following categories of risks have been considered in the Risk Management Framework:

Strategic Reputational Operational Regulatory and Financial
Risk Risk Risk Compliance Risk Risk

• Strategic Risks includes the range of external events • Reputational Risks includes a range of events that
and trends (like Government policy) that can adversely creates a mismatch between stakeholders’ expectations
impact the Company’s strategic growth trajectory and and their perceptions of the Company’s performance
destroy stakeholder value. It also includes the risks around those expectations.
arising out of the choices the Company has made in
defining its strategy.

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