OUR BUSINESS

Risk and opportunity management within SANBS

OUR BUSINESS

Risk and opportunity management within SANBS

SANBS embraces risk and opportunity management as an essential enabler for setting and achieving its strategic objectives and purpose of being ‘Trusted to Save Lives’.

Risk management is governed by an Enterprise Risk Management (ERM) Framework which provides a solid foundation to guide the organisation in embedding structured risk management processes to deliver sustained value.

 

Through the ERM process, risks and opportunities, which could affect the achievement of our iHEALTh strategy, are identified and managed within defined risk appetite and tolerance levels set by the Board. Management decisions to tolerate, treat, terminate or share risks and opportunities are taken based on these parameters.

 

As an essential healthcare service provider, it is prudent that SANBS protects its donors, patients and stakeholders from the potential adverse effects of risk and has therefore adopted a conservative risk approach.

 

SANBS follows an iterative and dynamic risk management process to ensure ongoing identification and evaluation of risks and opportunities in response to a continually evolving and rapidly changing internal and external environment.  Risks and opportunities are also identified through stakeholder engagement.

Oversight of risk management is the responsibility of the Risk, Technology and Information Governance Committee.

SANBS embraces risk and opportunity management as an essential enabler for setting and achieving its strategic objectives and purpose of being ‘Trusted to Save Lives’.

Risk management is governed by an Enterprise Risk Management (ERM) Framework which provides a solid foundation to guide the organisation in embedding structured risk management processes to deliver sustained value.

 

Through the ERM process, risks and opportunities, which could affect the achievement of our iHEALTh strategy, are identified and managed within defined risk appetite and tolerance levels set by the Board. Management decisions to tolerate, treat, terminate or share risks and opportunities are taken based on these parameters.

 

As an essential healthcare service provider, it is prudent that SANBS protects its donors, patients and stakeholders from the potential adverse effects of risk and has therefore adopted a conservative risk approach.

 

SANBS follows an iterative and dynamic risk management process to ensure ongoing identification and evaluation of risks and opportunities in response to a continually evolving and rapidly changing internal and external environment.  Risks and opportunities are also identified through stakeholder engagement.

Oversight of risk management is the responsibility of the Risk, Technology and Information Governance Committee.

Notable events/risk for 2022

Our material matters are reflected in our key risks and opportunities and represent the issues that have the most impact on our ability to create sustainable value for our stakeholders and influence our business model.

 

Of significance during the reporting period are:

Increased integration of risk management principles in process improvements

  • Continued identification, prioritisation, treatment, and monitoring of projects risks in the BECS implementation project
  • Planning and monitoring of financial process improvements
  • Incorporating risk management and link to strategic risks when submitting reports to the Board and Board committees

Internal/external events that had a significant impact on the SANBS risk profile

  • Impact of Covid-19 waves on blood collection and SANBS operations
  • KZN floods impacting blood collection and SANBS operations
  • KZN unrest impacting blood collection and SANBS operations
  • International geo-political instability
  • Implementation of the identified Target Operating Model
  • Worsening economic conditions, fuel increases

Initiatives to enhance risk management practices

  • Refined risk management analyses in terms of impact parameters and RAT definitions to prioritise risks better and improved risk-based decision-making
  • Improvement of integration of risk management into the strategic planning cycle
  • Finalisation of review and update of Business Continuity Plans

Emerging risks and opportunities

  • Monitoring changes and planned changes to compliance requirements enabling timely planning for necessary process amendments
  • Emerging risks of increasing civil unrest due to worsening socio- economic conditions
  • Focus on enhancing collections after Covid-19 to supply increased demand for blood products
  • Leveraging local and international collaborations forged during COVID-19
  • Continued monitoring of the external environment for diseases that could impact the supply and the demand for blood products
  • Monitoring of commodity shortages (e.g., global silicon shortage) that could impact SANBS’ operations and capital investments
  • Monitoring the environment to identify opportunities for expanding translational research into novel products

Notable events/risk for 2022

Our material matters are reflected in our key risks and opportunities and represent the issues that have the most impact on our ability to create sustainable value for our stakeholders and influence our business model.

 

Of significance during the reporting period are:

Increased integration of risk management principles in process improvements

  • Continued identification, prioritisation, treatment, and monitoring of projects risks in the BECS implementation project
  • Planning and monitoring of financial process improvements
  • Incorporating risk management and link to strategic risks when submitting reports to the Board and Board committees

Internal/external events that had a significant impact on the SANBS risk profile

  • Impact of Covid-19 waves on blood collection and SANBS operations
  • KZN floods impacting blood collection and SANBS operations
  • KZN unrest impacting blood collection and SANBS operations
  • International geo-political instability
  • Implementation of the identified Target Operating Model
  • Worsening economic conditions, fuel increases

Initiatives to enhance risk management practices

  • Refined risk management analyses in terms of impact parameters and RAT definitions to prioritise risks better and improved risk-based decision-making
  • Improvement of integration of risk management into the strategic planning cycle
  • Finalisation of review and update of Business Continuity Plans

Emerging risks and opportunities

  • Monitoring changes and planned changes to compliance requirements enabling timely planning for necessary process amendments
  • Emerging risks of increasing civil unrest due to worsening socio- economic conditions
  • Focus on enhancing collections after Covid-19 to supply increased demand for blood products
  • Leveraging local and international collaborations forged during COVID-19
  • Continued monitoring of the external environment for diseases that could impact the supply and the demand for blood products
  • Monitoring of commodity shortages (e.g., global silicon shortage) that could impact SANBS’ operations and capital investments
  • Monitoring the environment to identify opportunities for expanding translational research into novel products

Managing our risks and opportunities to ensure we manage what matters most

Benefits Derived from Practising Good Risk Management

Our ERM framework is premised on global practical risk management practices including ISO31000 and King IV™, and includes the identification, analysis, evaluation, treatment and monitoring of risks and opportunities from a position where we understand the context of our internal and external business environment and the impact on our iHEALTh strategy.
Figure 1 demonstrates how the effort is driven by the Board, Senior and Middle Management to manage and report on risks.

Figure 1

In addition, all lines of assurance are included as part of the Board and Board Committee oversight to ensure that roles, responsibilities and accountabilities for risk are clearly defined. See Figure 2.

Figure 2

Managing our risks and opportunities to ensure we manage what matters most

Benefits Derived from Practising Good Risk Management

Our ERM framework is premised on global practical risk management practices including ISO31000 and King IV™, and includes the identification, analysis, evaluation, treatment and monitoring of risks and opportunities from a position where we understand the context of our internal and external business environment and the impact on our iHEALTh strategy.
Figure 1 demonstrates how the effort is driven by the Board, Senior and Middle Management to manage and report on risks.

Figure 1

In addition, all lines of assurance are included as part of the Board and Board Committee oversight to ensure that roles, responsibilities and accountabilities for risk are clearly defined. See Figure 2.

Figure 2

SANBS Risk Profile (Risk Heatmap of Top Risks)

The residual risk level of strategy level risks currently identified and managed is depicted in the heatmap below:

SANBS Risk Profile (Risk Heatmap of Top Risks)

The residual risk level of strategy level risks currently identified and managed is depicted in the heatmap below:

Risk Profile Trend & Top Risks

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Head Office

  • 1 Constantia Boulevard Constantia Kloof, Roodepoort, 1709
  • (011) 761-9000
  • customerservice@sanbs.org.za

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Ⓒ 2022 - All Rights Are Reserved. SANBS Integrated Report. Created by Joshero (Pty) Ltd.

Head Office

  • 1 Constantia Boulevard Constantia Kloof, Roodepoort, 1709
  • (011) 761-9000
  • customerservice@sanbs.org.za

Main Links

Ⓒ 2022 - All Rights Are Reserved. SANBS Integrated Report. Created by Joshero (Pty) Ltd.