Risk Management

Presented by: Amrita Kaur Ashima Anand Atul Kapoor Harkamal Singh Nimisha Jhang

What is Risk Management?

Risk Management is the name given to a logical and systematic method of identifying, analyzing, treating and monitoring the risks involved in any activity or process
Risk Management is an on going plan to avoid circumstances and events that can cause loss & minimize the operational and financial impact of loss. Risk Management is a methodology that helps managers make best use of their available resources

Company Profile
Listed July 2000, SMRT Corporation is first listed metropolitan rail operator in the world. Singapores leading intermodal public transport operator Dominant operator of Singapores rail system; significant bus and taxi operator. Reaps increasing revenues from retail and advertising, as well as engineering consultancy, O&M and related services.

Risk Management Structure

Board of Directors

Audit Committee

Board Risk Committee

Audit

Risk Management Committee

Enterprise Risk Management Function

Risk Management Structure

Board Risk Committee
Overseas the risk management process. Directly report to board of directors.

Audit Committee

Oversight of financial reporting risks. Supervising accounting policies.

Risk Management Committee

Enterprise Risk Management

Responsible for identifying and managing risk. To monitor the implementation of risk mitigation strategies
To monitor the risks, methodologies and processes RMC reports to the BRC on a quarterly basis

Risk Management Process

Risk Analysis

Risk, Review & Refinement

Risk Control

Risk Transfer

Risk Management Process

Risk Analysis - Risk analysis involves a systematic review of exposures to loss and your existing insurance program. This process is based on our Exposure Analysis Checklist and the related materials required to help identify exposures to loss. Risk Control - Once risk is indentified, we collectively agree on the Risk Control techniques best suited to help reduce the frequency and severity of these risks. We indentify the most effective techniques through a series of questionnaires, risk control inspections, and a review of current risk control strategies.

Risk Transfer - After the risk is indentified and Risk Control strategies are agreed upon, is it time to evaluate both non-insurance risk transfer (usually contractual) and insurance risk transfer. This involves preparation of the submission as well as deciding on a marketing strategy.
Risk Review and Refinement - The Risk Management Process is a work in progress. It is constantly evolving based on the changing needs of each business. We continue to refine our strategies and stay on top of changes in your company so that we can proactively manage you Total Cost of Risk.

Risk Management Process - Case

Adopts a standard methodology Focuses on top risks at the group level All investments and overseas projects are subject to due diligence processes and also undergo the risk management process at each major milestone of the project life cycle. Integration of Key Risks at the Group level and monitored closely by the business units and corporate functions. Review the risk profile

Types of risks

Energy Cost

Safety

Regulatory & Operational

Security & Epidemic

Others

Safety Leadership

Safety Culture

Safety Enabling System

Safety Sustaining System

Reputation Risks

Investment Risks

Financial Risks

Property & Liability Risks

Types Of Risks
Energy cost risks Security and epidemic risks Regulatory and operational risks Safety risks
Safety leadership Safety culture Safety enabling system Safety sustaining system

Types Of Risks
Reputation risks Investment risks Financial risks Property and liability risks

Measures to mitigate risk

The Risk Management Process adopts a standard methodology. Believe in a robust risk management framework. Continually deliver reliable, innovative and progressive transport services to the customers. Objectives are outlined. Risks are viewed. Both are reviewed together to see the associated impact and likelihood.

Energy Cost Risk

Security & Epidemic

Regulatory Risk

Safety

Others

Mitigating Measures
Investment risks Financial procedures in place Property Risks Insurance programs. Reputational risks High standards of service quality.

Electricity contracts at fixed rates. Diesel at fixed Discounts. Engage in fuel-efficient efforts.

Developed SCEP. Conducted regular Drills. Business Continuity Management (BCM) in progress.

Carry out service improvement regime. Safety awareness Inculcated. Incentive schemes.

Safety Leadership Safety Culture Safety Enabling System Safety Sustaining System