2021 Universal Registration Document
RISKS MANAGEMENT
Main risks and risk assessment
Risk Impact
Low
Medium
High
X X X X
Risks related to Plastic and Climate Change
Risks related to Consumer Demand and Growth in our three business categories
Risks related to Retail Disruption and Consolidation
Risks related to BIC’s Supply Chain and Production
X X X X X X X
Risks related to BIC’s Net Sales Regional Concentration
Risk related to M&A execution in the context of BIC’s Horizon strategic plan
Risks related to Product Safety
Risks related to counterfeiting, parallel imports, and non-compliant products from competition
Risks related to increased Regulations
Risks related to IT Security
Risks related to the non-respect of Human Rights and Unfair Practices
Risk related to the execution of BIC’s transformation program BIC 2022 – Invent the Future
X
Impact of the Covid-19 pandemic on BIC’s risk management in 2021 As the pandemic evolves, so does the risk landscape. Below are some of its main impacts to BIC: Consumer Demand and Growth in our three business ● categories, specifically, a sharp decline of consumption and evolution of consumer habits; and challenges to anticipate demand behavior given the uncertain patterns of economic recovery due to the pandemic; Supply Chain and Production, including the mandatory partial ● or total shutdown of BIC’s factories in certain countries, the disruption due to the closure of borders globally; the surge in demand for goods and services putting constraints on the supply chain worldwide; Retail Disruption and Consolidation due to widespread and ● extended closure of traditional and convenience stores during the lockdown periods, compounded by customers financial hardship and potentially bankruptcy.
These risks required mitigation measures to protect the health and safety of our employees while ensuring business continuity. The Group continues to apply the government directives in each country where it operates. Work organization continues to adapt in accordance with health authority recommendations as they change, and remote working was implemented whenever possible. BIC’s sound strategy, financial situation, integrated business model, and transformation will help alleviate the longer-term impacts of the pandemic. Ukraine Crisis- March 2022 The Group closely monitors the potential consequences of the Ukraine crisis, which is evolving rapidly. Our utmost priority is to help and protect our team members. An action plan has been implemented to ensure their safety. Russia and Ukraine accounted for 2.4% of BIC’s 2021 total Net Sales (1.8% for Russia and 0.6% in Ukraine). The Group doesn’t have any industrial presence in these two countries. Please refer to "Risks related to Supply Chain and "Risks related to IT security."
49
• BIC GROUP - 2021 UNIVERSAL REGISTRATION DOCUMENT •
Made with FlippingBook - professional solution for displaying marketing and sales documents online