Enterprise risk management
Communicating risks throughout the organization in clear and timely fashion to keep relevant stakeholders informed about potential short-term and long-term risks in their part of the business. Stakeholders are held accountable for understanding the risks and escalating them as appropriate. Conducting periodic formal risk assessments though interviews and surveys of company leaders, across geographies and business segments, and analyzing risk- specific data on the likelihood of occurrence and severity of impact. Risks with highest scores are then further evaluated to adjust risk scores based on the effectiveness of existing mitigation processes. Identifying certain prioritized risks that could not be reasonably mitigated and transfer them through insurance or risk-sharing strategies, if these risks are outside of TTEC’s tolerance level. Continuously evolving how business is done, or abandoning certain aspects of the business, as needed, to reduce the likely impact of unmitigated risks. Climate-risk assessments are done, on average, every two to three years to identify and assess climate-related risks. These risks are measured and prioritized by the potential impact they could have and likelihood of occurring. In addition to managing these identified risks and opportunities, we ensure we are kept up to date on and compliant with any existing or emerging climate-related regulatory requirements as they relate to TTEC through our third-party partner. This ongoing and comprehensive enterprise risk management system is continuously reassessed to enable an agile and proactive approach to risk management.
Proactive risk management is fundamental to how TTEC does business. At TTEC, risk is continuously assessed and managed with the oversight from the Audit Committee of our Board of Directors and our executive leadership. Key elements of our risk management program include: Staying at the forefront of relevant developments in our business to understand and continuously assess potential risks and disruptors, including impacts of economic trends and consumer sentiment. Monitoring clients’ business to understand likely impacts on the demand for the company’s services. Requiring business leaders to manage risk proactively in alignment with TTEC’s appetite and tolerance for risk. Identifying certain prioritized risks that could not be reasonably mitigated and transfer them through insurance or risk-sharing strategies, if these risks are outside of TTEC’s tolerance level.
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TTEC 2023 Impact and Sustainability Report
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