KPMG member firms around the globe conducted an in-depth analysis of social and environmental risks linked to IKEA’s key raw materials, activities and assets. KPMG specialists helped IKEA to set priorities for risk management and monitoring by assessing the impact and likelihood of each risk and aligning with the existing risk definitions and scoring criteria of IKEA’s Enterprise Risk Management framework. The results of the assessment were compiled in an interactive risk register.
The interactive risk register provides users with a dashboard where they can plot risks based on their impact and likelihood, and visualize connections between the risks and global megatrends, countries and the different divisions of IKEA Group. It enables IKEA to discuss risks with internal and external stakeholders, to experiment with different assumptions and scenarios, and to proactively manage risks related to specific raw materials and activities.
Santhosh Jayaram, KPMG in India.