Annual Report 2008 - Securitas

A Securitas risk management case to illustrate how
the business risk evaluation model works in practice
Case: Securitas is participating in a tender process for services for an airline
As soon as all relevant information was received by
Securitas, a risk scenario was developed, focusing on the
following four areas:
· The overall description of the assignment and the
required approval level: a properly detailed assignment,
well­defined services, clear time frames, etc.;
· The operational risk analysis: experience of the services
to be provided, acceptable training requirements, etc.;
· The contractual framework: significant liability exposure,
large scope of contractual obligations, etc.;
· The financials: acceptable profitability on the contract,
correct price/wage adjustment clauses, strategic impor-
tance of the customer.
This risk scenario was then evaluated at the relevant levels
of expertise, revealing that the contract was strategically
very important, but that the liability exposure could not be
neglected.
Hence, intensive consultations were organized both
internally and externally, resulting in a liability structure that
was considered acceptable for the stakeholders, especially
given the strategic weight of the business potential.
Ultimately, the tender process was concluded with the
signing of a contract.
Securitas’ management
Risks and risk management
Securitas Annual Report 2008
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