Page 110 - Hitachi IR 2025

BUSINESS RESPONSIBILITY & SUSTAINABILITY REPORT
8. 9. Risk assessment
Risk assessment is one of the main parts of the BCM system. The RA process involves identification, analysis,
and evaluation of all possible risks, hazards, and threats to the operating environment, and defines likelihood /
impact of disruptive events caused by such threats.
Once the risks have been identified, their impact on different aspects of operations are gauged. Those risks
which affect mission-critical operations should be handled first. The following strategy is used to handle risks:
•
 Prevent
– Risks which are of high probability with high impact. These risks must be attended first by using
mitigation, prevention or any other strategy to lessen or avoid its impact.
•
 Accept
– Risks which have low probability and low impact. Nothing specific needs to be done for such risks,
but the organization should be vigilant. If a back-up strategy is put in place for such a risk, all the better
• Contain
–
Risks which have a high probability of occurring but having low impact on operations. Use
mitigation strategies to minimize impact of the risk on business operations.
• Plan
– Low probability but high impact events. Though this may be once in a lifetime event, its impact could
be disastrous. The business should plan the steps to be taken if such a risk occurs. Once the steps to be
taken are in place, production can be resumed in the shortest possible time with the least loss.
Business Impact Analysis
The Business Impact Analysis (BIA) identifies and prioritizes the mission-critical business processes and key
functions, disruption related operational impacts, and the resources (internal and external) required to recover
critical operations.f
A properly executed BIA will guide in reducing the overall operational and financial impacts, reduce potential
losses, and enhance the business operations.
Business Continuity Strategy
Business Continuity Plan describes the strategy devised to maintain business continuity in the event of a disruption
to operations. This strategy will be invoked when the primary facility(ies) somehow be damaged or inaccessible,
and business critical operations are interrupted.
Recovery priorities
The strategy is to recover critical business functions at an alternate site location (if an off-site strategy has been
put into effect to provide recovery service). Critical business functions are the most critical for immediate recovery
at the secondary location.
 Disclose any significant adverse impact to the environment, arising from the value chain of the entity. What
mitigation or adaptation measures have been taken by the entity in this regard.
Not available
 Percentage of value chain partners (by value of business done with such partners) that were assessed for
environmental impacts.
Not available
PRINCIPLE 7 BUSINESSES, WHEN ENGAGING IN INFLUENCING PUBLIC AND REGULATORY POLICY, SHOULD
DO SO IN A MANNER THAT IS RESPONSIBLE AND TRANSPARENT
The Company is operating in a dynamic, competitive, and regulated environment, making the operations and
compliance more complex.
The Company is committed to follow the law of the land and has a policy of zero tolerance to non-compliance which
is an integral part of its culture and operating philosophy. To support, streamline and adapt quickly with the ever-
changing policy framework, The Company have key industry memberships as given below
108 Hitachi Energy India Limited