Key focus - Risk management

Greg Ker-Fox, group executive responsible for risk management

The Murray & Roberts enterprise risk manage ment process is governed by the group risk framework which is adopted by all operating company boards and executive committees.

The process is applied in all areas of potential exposure to risk, including acquisitions, capital expenditure, project management, health, safety & environmental management and brand integrity.

Risk assessments are conducted at group, operational and project levels and collective group experience is leveraged to better understand potential exposures to threats and opportunities.Significant risk decisions are reviewed by the executive risk committee and then the Board.

Opportunity management relates to decision making on matters which change the Group’s risk profile:

• acquisitions are subject to rigorous due diligence study before approval
• capital expenditure requirements are assessed as part of business planning
• project opportunities are regulated through the opportunity managem ent system (OMS)

Risk mitigation promotes proactive manage ment of risk once it has entered the Group. This involves accountability, planning and resource allocation, ongoing review and communication with affected stakeholders.

Risk based audit tests the integrity of controls mitigating significant exposures. Business plan risk mitigations are reviewed and audits of selected major projects, systems and processes are performed through a combined assurance model by management and internal audit, and selectively reviewed by experienced corporate executives and external service providers.

Additional information on risk management and major projects undertaken by Murray & Roberts is available on the Group’s website at www.murrob.com