47153 AG Barr Annual Report 2025 AW4 SQ WEB - Flipbook - Page 57
Strategic Report
Corporate Governance
Accounts
R I S K M A N AG E M E NT
Effective risk management is essential
to enable us to achieve our operational
and strategic objectives and deliver
long-term value creation.
Julie A. Barr
Chief Legal and
Sustainability Officer
Risk management approach
Robust risk assessment
The Board is responsible for the Group’s risk
management and internal control systems and
for reviewing their effectiveness, supported by
the Audit and Risk Committee (“ARC”). A risk
management framework is in place, which sets
out the ongoing processes for the identification,
assessment and management of risks, and for
their ongoing monitoring and review. The Board
has defined its risk appetite in a number of key
areas for the business – this sets out the relative
level of risk that the Group is prepared to seek
or accept in the pursuit of its long-term strategic
objectives. The aim is to ensure that the risks taken
by the Group fall within its defined risk appetite.
The risk management framework sets out
a systematic approach to risk management,
which is designed to identify risks to the business,
regardless of source. Once identified, risks are
assessed according to the likelihood and impact
of the risk occurring and an appropriate risk
response is determined in line with the Group’s
risk appetite. Risks are re-assessed based on the
strength of the mitigating controls implemented.
The implementation of risk mitigation plans
is subject to ongoing monitoring and review.
A risk-scoring matrix is used to ensure that a
consistent approach is taken across the business
at both a corporate and functional level. This risk
assessment and review process is documented in
the appropriate risk register. Risks are reviewed
on an ongoing basis; the Group’s risk register
is formally reviewed by the Risk Committee
every two months and by the Board and
the ARC twice each year.
During the reporting period we have continued
to enhance our culture of risk management
throughout the organisation, which will contribute
towards the successful execution of the Group’s
long-term strategy.
55
