DSV Annual Report 2022 slide image

DSV Annual Report 2022

32 DSV Annual Report 2022 Corporate governance and shareholder information The key risks identified are addressed by the Executive Board and as- signed to risk owners within the Group to make sure that relevant pre- ventive measures are implemented. In line with the established frame- work, the key risks are reported to and addressed by the Audit Commit- tee and the Board of Directors. Key risk assessment 2022 The latest assessment of the Group's internal and external strategic risks was carried out in Q4 2022. The analysis confirmed the eight overall key risk areas - also identified in previous years - which may have a significant impact on the Group's earnings, financial position and ability to achieve other strategic objec- tives, should they materialise. The results of the risk analysis are presented in the adjacent risk map and described in greater detail in the following pages. The risks are not listed in a specific order. The indicated likelihood of occurrence and annual EBIT impact are based on our best estimates, taking mitigation strategies into consideration. As such, it should be noted that the quantifications applied in the risk map carries some degree of uncertainty. Financial risks Our daily operations involve various financial risks. However, these are not considered key risks. Our financial risks are monitored by our Group Finance departments to ensure a high level of management attention on the effectiveness of our hedging strategies. Please refer to Chapter 4 of the notes for additional information on our financial risks. Key risk map Estimated annual EBIT impact in case of occurence 750 million Rare Unlikely 2022 ā—‹ 2021 = III 1 IT Security System breakdowns and cyberattacks 2 Macroeconomy Recession and changes to global supply chains 3 Employees Retention and DKK 6 4 5 Moderate 8 Likelihood of occurrence attraction Compliance Increasing regulatory complexity 5 M&A Acquisitions and integration 6 Technology 7 Likely Almost certain 8 Disruption and technological adaption Commercial Failure to execute on organic growth strategy Climate risk The short-term impact from climate change
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