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In the ordinary course of business, the Prysmian Group is
exposed to a numerous financial and non-financial risks that,
if they arise, could have a potentially significant impact on its
economic and financial position, thus influencing the results
of the business and the creation of medium/long-term value
for all stakeholders. For this reason, specific procedures have
been adopted for the management of risk. In particular, the
Group has installed a dynamic system for the management
of business risks (Enterprise Risk Management, ERM), in
compliance with the “2011 Code of Self-Regulation for Listed
Companies” (Code of Self-Regulation) and international best
practice. This system is designed to identify, measure, analyse
and assess risk situations and events that might affect
achievement of the Group’s strategic objectives and priorities.
This system, managed in a structured and systematic
manner, supports the Board of Directors and management in
determining, in an informed manner, the most effective way
to mitigate the impact of such risks and, therefore, allow the
strategic objectives to be achieved.
The ERM system addresses the following five principal
categories of risk: strategic, financial and operational, legal
and compliance, planning and reporting. Environmental
risks also are analysed in this context, by adopting a global
approach to risk factors the Group is exposed to.
RISK FACTORS
