Carphone Warehouse 2016 Annual Report Download - page 25

Dixons Carphone plc Annual Report and Accounts 2015/16
Strategic Report
23
Example mitigating actions and related strategic priorities
Example mitigating actions Change in risk in 2015/16
• Board oversight and risk management structures actively monitor compliance
• Senior management perform oversight, co-ordination and monitoring of governance, ensuring
regulatory compliance and adherence to policy and monitoring of mitigating actions
• Internal committees, including a dedicated FCA compliance committee, and control structures to
ensure appropriate compliance (e.g. undertaking quality assurance procedures for samples of mobile
phone sales) and to react swiftly should issues arise
• Ongoing investment in the compliance team
• Continuous review of the operation and effectiveness of compliance standards and controls with the
development of control improvement plans where required
• New training programmes for colleagues implemented across the retail estate
This risk has increased over
2015/16 due to the expansion
of the FCA’s regulatory regime
into consumer credit and a general
increase in regulatory focus across
our operations
• Ongoing review to ensure appropriate and effective roles, responsibilities, and accountabilities
• Defined and standardised performance management frameworks in place, with talent and succession
plans maintained and reward aligned to attract and retain the best talent
• Store structures which provide a clear career path for colleagues, retaining and developing the best
retail talent
• Bonus plans which include components relating to both business and personal performance
• Continued improvements in the quality of training courses and development programmes with
specialist focus on core business areas
• Development of appropriate succession planning, as set out in the Nominations Committee Report
on pages 55 to 56
This risk has remained stable
over 2015/16
• Business continuity and crisis management plans in place and tested for key business locations
• Disaster recovery plans in place and tested for key IT systems and data centres
• Crisis team appointed to manage response to significant events
• Major risks insured
This risk has remained stable
over 2015/16
• Fraud prevention and detection controls
• Real-time transaction monitoring
• 24/7 fraud and loss prevention teams
• Customer identity verification and credit checks for network contracts
• Liaison with banks, card providers and MNOs to identify and mitigate opportunities for fraud
• Reporting and oversight by the Audit Committee
• Whistle-blowing arrangements
This risk has remained stable
over 2015/16
• Single Group health and safety policy
• Health and safety manager and team located across business units and markets
• Comprehensive set of policies and standards supporting continued improvement
• Risk assessment programme covering retail, support centres, distribution and home services
• Health and safety training and development framework
• Health and safety inspection programme
• Audit programme including factory audits for own brand products and third-party supply chains
A
comprehensive internal review
of health and safety processes
after the Merger has resulted in a
reassessment of the risk. We continue
to develop and implement policies,
procedures and practices to mitigate
this risk
• Long-term credit facilities in place
• Foreign exchange hedging to mitigate impact of currency fluctuation
• Long-term contingency planning to address wider regulatory and legislative changes
New risk
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