Vodafone 2012 Annual Report Download - page 41

Performance Governance Financials Additional informationBusiness review
39
Vodafone Group Plc
Annual Report 2012
Risk overview
Identifying
andmanaging
ourrisks
We have a clear framework for identifying and
managingrisk, both at an operational and strategic
level.Our risk identication and mitigation processes
have been designed to be responsive to the ever
changing environments in which we operate.
Managing risk
Identify
Senior management
identify the key risks
anddevelop
mitigationactions
Identify
Local management
create a register of their
top ten risks and
mitigation actions
Review and
assessment
Group risk co-ordinator,
who isthe Internal
AuditDirector,
consolidates the
operating companies’
and Group risks to create
the Group’s key risks
Process
Risks and mitigation
validated with the
Executive Committee
and presented to Audit
and Risk Committee
forreview
Review and
conrmation
Review and conrmation
by theBoard
Executive
Committee
Senior
management
of Group
functions
Group Risk
Co-ordinator
Board
Audit and Risk
Committee
Senior
management
of operating
companies
Ongoing review
andcontrol
There is ongoing review
of the risks and controls
in place to mitigate
these risks by the Audit
and Risk Committee
The Group’s key risks are
outlined below.
1. Regulatory decisions and changes
intheregulatory environment could
adversely affect our business.
2. We could suffer loss of consumer
condence and/orlegal action
duetoafailure toprotect our
customerinformation.
3. Our business could be adversely affected
by a failure or signicant interruption
totelecommunications networks.
4. Technological advances in handsets
anduse of alternative communication
services may result in less demand for
ourtraditional service offerings.
5. Increased competition may reduce our
market share and protability.
6. Our business may be impaired by actual
orperceived health risks associated
withthe transmission of radiowaves
frommobile telephones, transmitters
and associated equipment.
7. One or more countries may exit
theeurozone.
8. We may be unable to obtain additional/
renewsufcient spectrum with an
adequate return.
9. We may not satisfactorily resolve major
taxdisputes.
10. A malicious attack on our network may
be successful and disrupt our services
orcompromise our data.
11. Changes in assumptions underlying the
carrying value of certain Group assets
could result in impairment.
More detail on our key risks and the steps
we take to mitigate their potential impact
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