Luxfer has in place a comprehensive risk management programme designed to ensure that significant and emerging risks are identified, assessed and managed effectively.
Internal Controls and Risk Management
We operate to established procedures to identify key risks, evaluate their likelihood and size and manage and assess the effectiveness of controls to mitigate the impact and likelihood of these significant risks occurring. Such a system can only provide reasonable and not absolute assurance against material misstatement or loss. Our procedures are reviewed on an on-going basis as considered appropriate and cover both financial and non-financial risks.
Below we describe Luxfer’s principal internal procedures for identifying, evaluating and mitigating risk generally and in certain specific areas.
Risk Management - Over the years the company has developed and implemented a Risk Management Process with the help of external advisors.
Our Risk Management Framework
On a self-certification and self-monitoring basis, with guidance from head office, local management create a written risk profile for their business by identifying and evaluating the likelihood and magnitude of their key operational, commercial and financial risks. At the same time action plans are developed to mitigate or where possible eliminate identified risks;
Individual business and divisional risk factors are consolidated to form an overall risk profile for the company;
To enable it to review the effectiveness of Luxfer's risk management and internal controls the Board receives an annual report from the Chief Financial Officer on major identified risks, the processes involved in their identification and controls in place to manage those risks;
Any major new risk to the company, arising or perceived during the year between reports, is identified to and reviewed with the Board at regular meetings;
Training is undertaken locally and on a company-wide basis to eliminate or mitigate certain identified or perceived risks that may affect Luxfer or a business where relevant;
There are a range of Luxfer and local business policies to manage specific identified risks.