8.0 Risk Management

Under the direction of the Board of Directors, senior management has established a comprehensive risk management framework within DCC’s general management framework. The framework identifies the risks associated with DCC’s environment and its main business activities, evaluates the probability and potential impact of risk occurrence, and defines mitigation measures to avoid or minimize the risk. The framework is integrated into the Corporation’s strategic planning process to ensure high-risk areas receive special consideration in the planning exercise, particularly with respect to establishing priorities and allocating resources.

A Risk Management Committee of the President and the three Vice Presidents establishes the overall risk mitigation strategy. The management team is responsible for implementing actions that will mitigate risks while promoting awareness of risk management among staff. At the same time, sound risk management practices are embedded in DCC’s corporate culture. Staff members are expected to identify risks and deal expediently with issues and problems. When necessary, operating risks are referred to senior managers for guidance and assistance.

DCC balances risks with the need to provide a high level of timely operational support to DND and the CF. DCC’s risk management approach is characterized by having sound business process documentation, as well as effective and efficient levels of delegation of authority supported by speedy communication up the chain of command.