The reputation risk is understood as the risk of deterioration of reputation among clients, counterparties, investors, supervisory and control authorities, and the general public as a result of the business decisions, operating events, instances of non-compliance or other events.
The objective of managing the reputation risk is to protect the Group’s reputation by counteracting the occurrence of reputation and limiting the negative effect of image-related events on the Group’s reputation. Reputation Risk management is carried out in entities whose impact on the Group’s reputation has been identified as important.
Reputation risk management in the Group includes in particular
- Information monitoring of image-related events, taking into account every identified, negative information about the Group, in the form of information disseminated in the media,
- recording image-related events and their effects in the form of reputation losses,
- analysing and evaluating reputation losses and determining the level of reputation risk losses,
- execution of communication protective measures,
- identifying potential reputation threats.
The activities related to reputation risk are undertaken on the basis of periodical management reports .They concern, in particular, avoiding or discontinuing activities generating reputation risk and communication activities undertaken by the Group for protection purposes.