How we manage risk continued
Overview
Business review
Governance
Financials
Investors
Key risk drivers
Mitigating actions
Potential consequences
I Risk objectives: strategic (S), operational (O), financial (F) and compliance (C), risks listed in alphabetical order.
Strategic initiatives (S)
Activities are increasingly
undertaken in the form of
projects. Ahold Delhaize
might not be able to deliver
on the objectives of its
strategic projects
Product safety (O, C)
The consumption of own-brand
products or other food or
non-food products, or food
fraud in the supply chain could
result in our customers’ injury,
illness or death
A better place
to shop
Our sustainable
business model
Our promises
Internationalization of the
supply chain
Incidents across the world
Increased number of own
brand products
Speed of communications
(social media)
Changing retail environment
Dependencies between projects
and operational activities
Availability of required capabilities
Ahold Delhaize’s
governance structure
Approved strategies
Program and
project management
Business review process
Product safety policies
Control standards for food and
non-food products
Standard operating procedures
Dedicated product integrity
guidance and controls in
the brands
Monitoring of performance in
the business
Tracing of product origins and
conditions of production
Third-party certification
Insurance program
Ahold Delhaize is implementing its Better Together strategy.
If the Company is not able to deliver on the objectives of its
underlying strategic projects, the realization of key elements
of its strategy may be at risk. This could have a material
adverse effect on Ahold Delhaize’s financial position, results
of operations and liquidity
Though it has mitigating actions in place, Ahold Delhaize may
face product safety problems, including disruptions to the
supply chain caused by food-borne illnesses and negative
consumer reaction to incidents, which may have a material
adverse effect on the Company’s reputation, results of
operations and financial position
Ahold Delhaize’s principal risks and uncertainties1
Risk Strategic area
Ahold Delhaize Annual Report 2016 ^00
