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Integrated Annual Report 2018-19

Managing Risks, Maximising Returns

Risks are inherent to business and we are committed to effectively managing them
in our pursuit to achieve strategic and business objectives aimed at enhancing
stakeholders’ value sustainably. Our focus on dealing with business uncertainties is
to minimise the downside while striving to maximise the upside potential to attain Integrated Report
our business objectives and ensure long-term sustainable growth.

The following section discusses various Approach to risk management and prioritisation of risks include scanning
dimensions of TCL’s Enterprise Risk Management. Tata Chemicals recognises that effective the business environment and continuous
The risk-related information outlined in this monitoring of internal risk factors. Risk
section is not exhaustive and is for information risk management is essential to achieve management forms an integral part of
purposes only. The discussion may contain its business objectives and long-term Management focus and is an ongoing
statements which may be forward-looking sustainable growth. The Enterprise Risk
in nature. Management process aims to develop Risk process and integrated with operations.
Intelligent culture within the Company to
The Company’s business model is subject to encourage risk informed business decision- Risk management in action
uncertainties that could cause actual results making. We are exposed to risks arising out of the
to differ materially from those reflected in the macroeconomic environment as well as
forward-looking statements. Our business’ The risk management policy of the from the internal business environment.
operational performance and financial results Company lays down the framework of We continually focus on addressing the
could also be harmed by risks and uncertainties
not currently known to us or by risks that we Risk Management promoting a proactive same as we ensure value creation for Statutory Reports
currently do not believe are material. Readers are approach in identifying, evaluating, reporting our stakeholders. Information regarding
also advised to exercise their own judgement in and resolving risks associated with the key risks facing Tata Chemicals and their
assessing the risks associated with the Company. business. Mechanisms for identification mitigation strategies are as under:

Strategic Risks

1 Failure to respond to sustainability and climate change related risks

Mitigation • The overall roadmap as well as specific environmental impacts thus reducing
• On the sustainability front, the issues of concern including those related operational environmental risks
objective is to go beyond compliance to environment and climate change is • We are scaling up recyclable packaging
requirements reviewed in detail at CSR, Safety and capacity of our Consumer Products
• Continuous monitoring of various Sustainability Committee of the Board and will replicate the same to Chemical
environmental parameters with regularly Products in a phase-wise manner Financial Statements
continued investment in environment • The Company has also adopted ISO • Taking proactive steps to drive waste
related projects in plants 140001 and is a signatory to Responsible management initiatives including
• Impact register is periodically Care which guides the Company as and collection, segregation and safe disposal
reviewed for keeping it updated when required of plastic waste as per Extended
and for improving environmental • Environmental Management Plan Producer’s responsibility norms
performance (EMP) is in place for mitigating the

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