Our Enterprise Risk Management Committee (ERMC) consists of Birla Carbon’s leadership team as well as functional heads of ERM. The implementation of risk management measures is overseen by Regional Risk Officers while site-based subject matter experts are responsible for identifying and managing any risks as they arise. We have developed a Corporate Working Group, a cross-functional committee with members from our financial, legal, IT, HR and other business areas, to identify and mitigate risks which relate to their departments.
Alongside these two groups, employees are encouraged to report any risks they identify. This includes reporting any near-miss safety instances, unethical activities or any other risky activities they observe.
Our process – identifying and prioritizing risks
Across our global operations, we have identified over 300 risks. These risks are captured and prioritized through a Risk Register, based on potential financial impacts, probability of occurrence and volatility. Heat maps and dashboards are used to display information in a way that makes it easy to identify the most high-risk situations.
Mitigation of our risks – business continuity
We see our detailed approach to risk mitigation as something that differentiates Birla Carbon from our competitors. We utilize the finest loss-protection engineers to help us identify and minimize risks at our facilities. We use a network of worldwide brokers to identify emerging risks and provide insurance, while assuring we are compliant in the countries where we operate. Our Business Continuity Plan (BCP) program is central to our ERM program, preparing us for issues and providing solutions, protecting our operations and helping prevent unforeseen events.
Over 300 individual site risks have been identified and actively managed through Origami, our risk management information system. We also use this system to manage our Risk Registers, BCPs, reviews, schedules and ownership of risks.
Each of Birla Carbon’s locations has a comprehensive Disaster Recovery Plan and BCP to ensure it is prepared for interruptions due to natural disasters or disruptions. Our Business Continuity Management System (BCMS) is based on the ISO 22301 standard. The BCMS guides recovery strategies for our most crucial processes and activities to ensure the continuous supply of carbon black to our customers.
Several regions have held intensive BCP workshops during FY2020, using the information gained to standardize business continuity planning processes globally. This includes ensuring a thorough risk identification and assessment process, with each critical business risk accompanied by a comprehensive BCP. Information on material risks identified at the site and regional level is captured on a Risk Register that is maintained at the enterprise level and reviewed during ERMC meetings.
To help site leadership teams respond appropriately during crises, we developed our “In Case of Crisis” application. The app, designed to improve emergency response, provides access to important information such as local numbers, contacts and procedures on users’ smartphones.BCP statement PDF, 0.08 MB