Enterprise Risk Management Report
Our approach to risk management is supported by best-in-class Enterprise Risk Management framework and backed by a risk-aware culture across the organization.
Our risk management framework is based on standards such as COSO, ISO31000:2009 and IRM Risk Management Standard which enable us to structure our systems and mechanisms of risk management effectively.
Mindtree has been recognized as the “Firm of the Year” in the Information Technology sector of the CNBC-TV18 India Risk Management Awards. This award recognizes organizations that understand risk and consistently practice it with high integrity. Several sustainability risks are tracked under the risk segments within our framework such as strategic, operational, financial and compliance.
Mindtree ERM Framework
The risk management committee at Mindtree, chaired by the CEO with the CFO and CRO as permanent invitees to meetings, provides the supervision and direction. Every potential risk has designated risk owners who are responsible for risk treatment as per Mindtree’s risk management policy. A detailed update of the significant risks across the organization are discussed along with risks that have emerged during the course of the year.
In 2015-16, we added initiatives such as:
- Risk index for new geographies based on security/safety, ease of doing business, corruption perception, political/economic/financial system stability.
- Implementation of process to provide security guides for Mindtree Minds on international travel.
- Along with the above, we enhanced other existing initiatives such as the quarterly account risk index, contract risk management, risk awareness, client acceptance procedures and credit risk analysis.
- We engaged an external partner to review and further enhance the Mindtree Business Continuity Plan, and incorporate industry best practices and align to ISO 22301 standards.
Disaster management: The Chennai Floods was an unprecedented event and put our Business Continuity to test. The situation was managed well, driven by our effective business continuity management, thereby ensuring minimal disruption for our clients. We ensured safety of our people and extended support to Mindtree Minds and support staff.
The cross-functional team addressed the emergency head-on. The Administration and Facilities function kept the office operational and at the same time relocated Mindtree Minds based on client need and safety. Our Finance team, People Function and People Shared Services function brought in timely support. Our Corporate Information System team ensured that desktops/laptops were arranged swiftly and also tackled the issues with networks and equipment. Space Management team accommodated the relocated teams into the workplace and the Delivery teams were involved in tracking the people and communicating relevant updates to our clients.
Our risk management function was constantly in touch with stakeholders and support functions for emergency assessment and redressal feedback.