· Risks and opportunities
- Connectivity of information
- Strategic focus and future orientation
Sasol presents an integrated risk management process. Clearly connecting the company strategy to the risk management process demonstrates the critical relationship which Sasol is monitoring to ensure the long-term sustainability of the business. Sasol’s discussion then evolves to provide a more detailed discussion around the risk management process, giving some detail on each of the seven phases and how they interrelate. Interestingly, Sasol provides an overview of the company’s risk tolerance and risk appetite which helps to provide the reader with some context as to how risks are determined.
The following pages then outline an interesting concept of top risks and top issues. Sasol differentiates between top risks – which are those which are longer term in nature – and top issues – which are of a more immediate concern. This provides the reader with greater clarity on the focus areas of the business in the near term and gives the reader a sense that the business is also focused on the long-term. For the top issues, there is a transparent discussion around what exactly the business is doing in regards to each of the issues. Notably these issues are primarily sustainability related.