We take proactive and effective risk management to mitigate adverse effects on our operations, and to identify and explore business opportunities. Ultimately, risk management helps us achieve our long-term strategies and short-term goals.
As a chemical company, we are exposed to a number of strategic, operational, financial, hazard and compliance risks that could have a negative effect on our business, reputation, operating results or financial condition. Several inherent business risks also represent business opportunities, underlining the need for systematic risk management of our operational and financial performance. We currently consider the following risk areas and factors to be the most relevant to our business:
|Strategic risks||Fertilizer prices|
|Investments and integration|
|Health and safety|
|Operational risks||Production reliability|
|Price risk on inventory|
|Hazard and Compliance-related risks||Political Risk|
|Legal compliance risk|
|Personnel security risk|
|Supply chain relations|
|Financial risks||Financial Risk|
|Interest rate risk|
We have undertaken a thorough review of the material sustainability issues facing our company and its industry. In accordance with our overall risk management system, risks related to the company’s corporate citizenship are categorized as strategic, operational, compliance or financial (as per table above).
Strategic risks arising from global challenges often represent business opportunities for us as the company responds to these with contributions to sustainable agriculture and business development. Our health and safety, and product stewardship team continuously monitor our significant operational and compliance risks.
We are highly committed to to protecting our people and the environment, while ensuring safe and high quality products. We take responsibility of our processes, and never compromise on safety.