Risk Management

The Risk Management Unit is primarily responsible for ensuring that all risks within SCM are properly quantified, limited to within agreed maximum bounds and appropriately managed to ensure that the financial impact of these risks are minimised. The most important function of risk is to ensure that SCM takes calculated risks for which it is well compensated. The main tools used in this process are economic capital and return on risk adjusted capital (RORAC).

The Risk department comprises:

• Market Risk Management
• Enterprise-wide risk management (EWRM)
• Risk Quantification
• Operational Risk Management
• Legal Risk Management and Compliance
• Credit Portfolio Management
• Risk Reporting
• Credit Analysis