Prepared by Yazan Metwalli148371 Moyad Habiballah137535 Mohammed Erbash138215

Prepared by: Yazan Metwalli(148371) Moyad Habiballah(137535) Mohammed Erbash(138215) Group name: MYM

INTRODUCTION • Vodafone Group plc : is a British multinational telecommunications company, with headquarters in London. It predominantly operates services in the regions of Asia, Africa, Europe, and Oceania. • Vodafone was established in September 16 1991, 26 years ago • The products they provide is fixed line, mobile telephony, internet services and digital televisions • Vodafone owns and operates networks in 26 countries and has partner networks in over 50 additional countries. Its Vodafone Global Enterprise division provides telecommunications and IT services to corporate clients in 150 countries.

BACKGROUND INFORMATION • Vodafone ranked fifth by revenue and second (behind China Mobile) in the number of connections (435. 9 million) as of 2014 • Vodafone ranked fifth by revenue and second (behind China Mobile) in the number of connections (435. 9 million) as of 2014 • The name Vodafone comes from voice data fone, chosen by the company to "reflect the provision of voice and data services over mobile phones". • In 2001, the Company acquired Eircell, the largest wireless communications company in Ireland, from eircom. Eircell was subsequently rebranded as Vodafone Ireland. Vodafone then went on to acquire Japan's third-largest mobile operator J-Phone, which had introduced camera phones first in Japan.

VODAFONE RISKS

• Vodafone faces a variety of risks including: -Financial Risks -Market Risks -Operational Risks -Political Risks -Security Risks

FINANCIAL RISKS • Financial risk is any of various types of risk associated with financing. • According to Vodafone their major key financial risks are -Integration of acquired businesses -Impairment assumptions -Tax disputes

MARKET RISKS • Market risk is the possibility to experience losses due to factors that affect the overall performance of the financial markets. • Major key market risks that Vodafone face are -Competition -Converged and OTT services -Unstable economic conditions -Major Enterprise contracts -Market disruption -Customer Experience

OPERATIONAL RISKS • Operational risk is the prospect of loss resulting from inadequate or failed procedures, systems or policies. • Some of the Operational risks that Vodafone face include: -Network or IT system failures -Key suppliers -Failure to deliver on convergance

POLITICAL RISKS • Political risk is the risk an investment's returns could suffer as a result of political changes or instability in a country. • Such as: -Non-compliance with laws and regulations -Adverse Political Measures

SECURITY RISKS • Security risk is the risk related with the security of the company or individuals. • Vodafone reports its main security risk are -Failure to protect customer information -Cyber threats

RISK MANAGEMENT STRATEGY

VODAFONE RISK MANAGEMENT FRAMEWORK • Vodafone’s risk management framework uses the following steps

IDENTIFY • Vodafone risk management should identify: -Risks in each Vodafone local market and entity -Strategic risk reviews with senior leadership -Group principal risks reviewed and agreed with the board

MEASURE • Risk management employees should be able to measure risk appetites set by the board for all principal risks and cascaded down. • Standardized scoring and categorization allows consolidation and escalation across the group

MANAGE • Controls and mitigating actions identified and measured • Risk management employees should be able to manage risk action plans created to control risk outside of appetite

MONITOR • Integrated assurance mapping identifies all levels of control and oversight in one place • Effectiveness of control and oversight is tested across the “three lines of defense”

REPORT • Risk Management Employees should: • Inform the board and executive committee on how effectively risks are being managed versus appetite • Report group-wide consolidated views with risk managers

STRENGTHENING RISK MANAGEMENT STRATEGY • To support implementation of the risk management framework the following actions have been put in place: -Created a Group Risk function reporting to the Group Risk & Compliance Director -Brought together a global risk community from local markets and specialist risk areas -Completed an integrated assurance mapping project -Assigned Executive Committee owners and Senior Leadership champions for each principal risk

CONCLUSION

• Vodafone needs to take risks and assume exposures to achieve its strategy. Risk, is essential to the success of Vodafone. Equally, in the other hand, failure to manage these risks may have an adverse impact upon Vodafone’s strategic goals and objectives. With Vodafone’s new risk management framework, it can successfully identify risks, and put in place appropriate measures to ensure risks are properly managed and monitored. This framework ensures Vodafone has one, companywide approach to risk management, with local oversight and approvals.

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