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During 2018, the focus will be on:
•
•
Separating second and third lines
of defence.
•
•
Strengthening the ‘centre of excellence’
for all assurance providers in line with
revised structures and roles.
•
•
Implementing the risk and compliance
transformation roadmap in the opcos.
Successful implementation requires that
we continue to have:
•
•
The right tone at the top, at the group
and all opcos.
•
•
Clear measures of success together with
regular and robust monitoring of
performance.
•
•
Strong relationships at all levels of
the business.
MTN operates in a complex, dynamic and fluid
compliance environment. We made significant
progress in 2017 to implement a multi-faceted
approach to the management of compliance.
Through our regional vice presidents and
regional compliance officers, the group provides
strong compliance oversight, while in-country
compliance officers are responsible for ensuring
that compliance matters are attended to
timeously.
In 2017, the board approved a revised
compliance target operating model and gave
the go ahead for the recruitment in 2018 of
additional compliance resources. This will
ensure that the compliance function is further
strengthened and enable it to deliver on its
strategic focus areas.
Business continuity management and
crisis risk management
Our group-wide BCM programme enables us to
develop our capability to prevent, respond and
recover from business interruptions. We have
developed continuity plans for our key markets
and continue to make progress in all our
markets. However, we would like to increase our
focus on the maturity of these processes in
certain markets and have placed this as a
priority for the group operating committee.
Our BCM approach leverages the ISO 22301
standards and the Business Continuity Institute
Good Practice Guidelines and enables us to put
in place adequate measures to protect our
brand and reputation and comply with statutory,
regulatory and contractual obligations.
Furthermore, we continue to strengthen our
crisis management structures to effectively deal
with incidents and crisis events across the MTN
Group, andhave anongoingproject to implement
a crisis management tool to further strengthen
our response capability.
Insurance and risk transfer
The MTN Group insurance programme is built
around the close connection between risk
management, risk retention and insurance using
an annual assessment of risk exposures at each
operating company. To achieve this, there is a
strong commitment to the risk management
assessment process, improving operational
management’s adoption of risk management
best practice and to reduce risks across the
entire insurance programme.
The programme covers physical/material
damage to assets, business interruption,
political violence, political risk, public liability,
directors’ and officers’ liability, commercial
crime, professional indemnity and cyber liability.
The limits of indemnity for these covers have
been structured to maintain an appropriate
balance between external insurance and
internal risk retention/self-insurance to manage
the total cost of risk and demonstrate value for
money.
To optimise risk retention, the insurance
programme is supported by a cell captive, which
continues to build its capacity and improve the
cost effectiveness of the MTN Group insurance
programme.
We have no political violence cover in place for
Syria and Sudan and no political risk cover in
place for Syria, Sudan or South Sudan. Other
operations that are not covered under this
placement are South Africa, Botswana, Cyprus
and Swaziland, where we perceive risk as low.
Afghanistan is covered under a Multilateral
Investment Guarantee Agency placement and
Iran is covered under an Export Credit Insurance
Guarantee policy.
MTN Group Limited
Integrated Report 2017
77
Governance, people
and remuneration