Risk and opportunity management
Every conscious business decision is based on weighing the associated risks and opportunities. Therefore, a targeted approach to handling opportunities and potentially negative developments is an integral component of a value-oriented company management.
Risk management in the Merck Group is supported by a uniform, corporate-wide system. Risk management activities are aimed at identifying risks at an early stage and evaluating, controlling and managing them. In order to fulfill this task, corresponding roles and responsibilities have been defined and outlined throughout the Group by means of binding guidelines.
Within the scope of a standardized risk process, the current risk situation is reported to the Executive Board in six-month intervals or, in special cases, on an ad-hoc basis. The risk management system and compliance with the corresponding guidelines are reviewed regularly by the Internal Auditing department.
Opportunities are identified, analyzed and managed in the respective divisions by means of suitable processes. Information on the opportunities in the individual division, and particularly with respect to R&D, are described in more detail in the chapter Merck Serono as well as in the chapters Liquid Crystals and Performance & Life Science Chemicals. In agreement with the Executive Board, it is ensured that opportunities are seized actively and in line with the corporate strategy.
Management assessment of the overall risk situation
Currently no risks can be identified that could jeopardize the continued existence of the Merck Group. This is the finding of this risk report, which was prepared in accordance with German Accounting Standard 5.
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