NEOPOST_REGISTRATION_DOCUMENT_2017

3

Management Report

Risk factors

Main risks, control activities and insurance Risks are classified by category: strategic, operational, legal, technological, financial and environmental. During the interviews, they are given a rate on a scale of 1 to 4 in terms of impact and likelihood, 4 being the highest level of risk. The risk map below represents the situation after the last risk

assessment performed in 2017. The horizontal axis represents the impact and the vertical axis the likelihood. The size of the circles represents the number of occurrences (i.e. number of

times the risk was cited during the interviews).

Data protection

3.3

Mail decline

Information systems

Forex, interest rates, liquidity and shares

3.1

Evolution of technology

Transformation

2.9

Dependence on suppliers

Acquisitions

2.7

Launch of new products

2.5

Tax

Fraud

New regulations

2.3

Competition

Attractivity, talent retention and succession plan

Average likelihood

Intellectual property

2.1

Environmental regulation

Bigger transactions

1.9

2.2

2.4

2.6

2.8

3.0

3.2

3.4

3.6

3.8

4.0

Main risks

Strategic risk

Legal risk

Operational risk

Environmental risk

Financial risk

Technologic risk

Main risks

Strategic

Operational

Legal

Technological

Financial

Environmental

Highest risks

• • • • •

• •

•

Decline in mail

Transformation

Data protection

volumes Launch of

Attractivity, talent retention and succession plan

new products Competition

Moderate risks

• •

• •

•

• • •

•

Evolution of technology Acquisitions

Bigger

New regulations

Information

Forex, interest

Environmental

transactions Dependence on suppliers

systems

rates, liquidity and shares Tax

regulation

Intellectual

property

Fraud

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REGISTRATION DOCUMENT 2017 / NEOPOST