Balancing people, planet and profit
24 000 employees worldwide.
Our Approach to Sustainability
Naspers' approach to sustainability is rooted in a detailed understanding of the factors that make it such a critical issue.
Among others, these factors include:
Naspers identifies and manages risk in line with international best corporate governance practice and applies the relevant rules and regulations.
The group’s risk profile is based on a formal and planned approach to risk management. Risk identification, management and reporting are embedded in business activities and processes.
As a multinational multimedia group with activities in over 130 countries, the group is exposed to a wide range of risks that may have serious consequences, and risk management is therefore integral to the day-to-day operations of our businesses.
The board is responsible for the governance of risk and is satisfied with the effectiveness of the risk management process. Risk management plans and processes are presented, discussed and approved at risk committee meetings. Registers of significant risks facing the group are discussed, along with management actions to control these risks within board-approved ranges of tolerance.
The diversified nature of the group helps spread risk, particularly in terms of global political and economic instability, market development, regulatory matters and currency fluctuations, although this does add complexity.
Identifying risk and developing plans to manage risks are part of each unit’s business plan. These are assessed by the board annually.
The risk policy applies to risks the group faces in executing its strategy, operations, reporting and compliance activities. The policy is reviewed annually. Some group companies have specific risk management functions and the Naspers risk committee is responsible for reviewing these.
The group risk policy applies to all operations where Naspers has more than 50% ownership and management control.
Risk management support advises on, formulates, oversees and manages the risk management system and monitors the group’s risk profile, ensuring major risks are identified and reported at the appropriate level in the group.
The Naspers enterprise-wide risk management (ERM) framework is designed to ensure significant risks and related incidents are identified, documented, managed, monitored and reported in a consistent and structured manner across the group. It is modelled on the COSO ERM framework as well as the COBIT framework for information technology.
Material issues and how we manage them
Certain material risks are outside our control and other factors, besides those listed, may affect the overall performance of the business. Despite our structured approach to risk identification, some risks may currently be unknown and other risks, regarded as immaterial, may become material.
1 COSO ERM: The Committee of the Sponsoring Organisations of the Treadway Commission Framework for Enterprise-wide Risk Management.
2 COBIT: Internationally accepted framework for IT governance.