Risk Management
As registered in the State Enterprise Register of Latvia as of October 2, 2024
Most Significant Risks
SIA DroTurKõrg Baltijas Grupa (DTK Group) is exposed to risks that may arise from its operations or changes in the operating environment. The most significant risk factors described below can potentially have an adverse effect on DTK Group’s business operations and financial position. Other risks, which are currently either unknown or considered immaterial to DTK Group may, however, become material in the future.
The assessment and analysis of DTK Group’s most significant risks covers both financial and non-financial risks. In line with EU requirements and Latvian regulations, DTK Group has identified the most significant risks regardless of their materiality. Additionally, DTK Group applies relevant industry guidelines on risk reporting and management.
Risk Management Responsibilities
The aim of risk management at DTK Group is to:
Identify risks and uncertainties related to the achievement of company objectives
Assess the likelihood and magnitude of risks and opportunities
Identify and implement necessary actions to mitigate negative impacts
Monitor and report on risk management effectiveness
Organizational Structure
DTK Group’s risk management is structured as follows:
Board of Directors
- Approves risk management principles
- Responsible for monitoring risk management effectiveness
- Reviews key risks and mitigation plans
- Acts on significant risks when necessary
Executive Board
- Reviews and approves Risk Management Policy
- Approves risk tolerance levels
- Owns key risks relevant to their areas
- Oversees implementation of risk mitigation actions
Risk Management Function
- Develops and coordinates systematic risk management
- Integrates risk management into core business processes
- Consolidates risk information for Executive Board
- Facilitates risk assessment and reporting
Business Units
- Identify and assess operational risks
- Implement risk mitigation measures
- Report on risk status and emerging issues
- Maintain local risk registers
Internal Control Procedures
DTK Group maintains comprehensive internal control systems covering:
- Financial reporting and controls
- Operational processes and procedures
- Compliance and regulatory requirements
- Quality management systems
The effectiveness of these controls is regularly reviewed and updated to ensure continued relevance and effectiveness.
For detailed information about specific risks and mitigation strategies, please refer to our latest corporate documentation available upon request.
This risk management framework ensures systematic identification, assessment and mitigation of risks across DTK Group’s operations while maintaining compliance with all applicable regulatory requirements.