Page 48 - Hitachi IR 2025

RISK MANAGEMENT
Key risk
Digital & service
How we manage these risks
1. Strengthen the service workforce, by
continuous competency enhancement
and retention.
2. Visible career path for service resources
for sustainable service growth.
3. Balance service profitability and
growth expectations.
4. Develop clarity around service
digitalization and cascade strategic intent
into the organization.
5. Clear identification of Digital Solutions
v/s Digitally enabled services and
strategize the Go-to-Market based on
specific requirements.
Key risk
Sustainability and
regulatory compliances
How we manage these risks
1. The Company is actively engaged in
helping tackle climate change, starting
with its own operations. Through market
scenarios, it is also looking at potential
climate impacts on economic growth and
market/energy transition drivers such as
pace of acceleration, bottlenecks, and
governmental plans and targets.
Key risk
Cybersecurity
Description of the risk
Optimize our service approach to capture
full‑service potential
6. Supplement strategic service
objectives with investments into people
and innovation.
7. Innovative approach to increase ability to
think more in terms of service and digital
on how to best meet customers’ needs.
8. Identify the problem statement or the
key concerns to be addressed through
Digital solutions and propose the
Digital Solutions including one Hitachi
approach collaborating with other Hitachi
group companies.
Capitals
impacted
Description of the risk
Compliance to Climate Change and Carbon Neutrality
2. The Company has, defined and validated
ambitious greenhouse gas (GHG)
reduction targets to set its own net-
zero trajectory.
Capitals
impacted
Description of the risk
Inadequate modernization, governance, and security practices
may expose the organization to advanced cyber threats,
leading to data loss, financial impact, and reputational harm.
How we manage these risks
1. Secure end-of-life applications as they
represent excessive vulnerability to
target cyber posture.
2. Re-calibrate industrial cybersecurity
target posture to align with
digital innovation.
3. Inventorize third-party applications
accessing our applications/systems
and establish adequate governance.
4. Get visibility into product portfolio
and secure compliance with emerging
cybersecurity requirements.
46 Hitachi Energy India Limited
5. Be secure from external threats currently
used by countries in wars, such as device
disruption/ malfunction and financial
account access/compromise.
6. Promote a robust cybersecurity culture.
Engage, educate and raise awareness
among all employees and customers.
7. Ensure compliance to cybersecurity
regulations and maintain certifications to
cybersecurity standards.
8. Ensure the implementation and operation
of robust and secure IT infrastructure.
Capitals
impacted