Annual Report 2011

Risk management

Identifying, mitigating and managing risks is part of our culture. Furthermore, our risk management process is used to identify business opportunities, to improve our services for clients and associates and to increase the value of the Adecco Group.

The process  The risk management process at the Adecco Group has strategic and organisational dimensions. Besides analysing, managing and mitigating risks, the aim is also to identify business opportunities. The risk assessment process includes an estimation of the likelihood of risk occurrence, potential impact on the financial results and an assessment of the effectiveness of existing internal controls. When existing controls need further improvements, action plans are established and implemented to mitigate the risk to an acceptable level. All countries perform risk assessments on a regular basis and report their results to Group Management. The results are discussed in the Risk Management Steering Committee to determine whether the countries’ assessments are plausible also from a Group perspective. Risks identified at country and corporate level are treated as opportunities for improvement. In this sense, the risk management process is a vital part of daily activities within the organisation. The Group’s financial risk management activities are also covered in the Financial Review. This section focuses on describing where key risks emerge and the actions Adecco takes to manage and mitigate those risks.