Risk management is always carried out by TOTAL in order to anticipate the potential of financial pressure and serious damage. Each unit in the Company shall conduct identification, appraisal, monitoring, and reporting of risks potentially leading to the Company’s failure in embracing its objectives.
TOTAL’s risk management system functions are to manage the Company’s risks by identifying, evaluating, and controlling risks that are potentially leading to the disruptions in the Company’s activities and business sustainability that may result in failure in achieving the Company’s goals. Risk management is conducted by TOTAL in a more-organized approach, covering risk assessment, as well as strategy development for managing such risk and mitigating it utilizing the Company’s existing resources. Within risk management process, TOTAL has prepared some anticipation in order to lessen risk exposure.
Other strategies that may be adopted by TOTAL consist of transferring risks to other parties, avoiding the risks, decreasing the adverse effects of such risks and accepting a portion or all of the consequences arising from certain risks.
TOTAL consistently perform a good quality and welldocumented risk management practices, which shall serve as the main pillar in the Company’s business of decision making process. The good implementation of risk management practices shall render the enhancement of the Company’s value and profitability. Establishing a strong culture of risk awareness in the Board of Commissioners, Directors, and all employees shall then serves as a strategy that would meet the objective of risk management.