Risks
Description of the Most Important Risks & Opportunities
SBR is conscious that many sustainability trends, both local and international, are a risk to the business but SBR tends to see them as opportunities. The points below highlight what SBR has identified as major risks to its operations, both in the short and long term, and the opportunities that they create.
Arising from Sustainability Trends
Climate-Change Related Risks
Risks
Opportunities
The rising of sea levels
(As a beach resort, SBR is very concerned about this trend.)
Investment in Cleantech in anticipation of rising energy costs
Increase of occurrences of vector-borne diseases e.g. Dengue
(As SBR’s facilities are on a densely vegetated terrain, increase of mosquito occurrences is a concern.)
Partnerships with various stakeholders in raising awareness on these topics
Rise in ambient temperatures (and therefore rise in energy needs)
Implementation of more severe government tax on aspects such as emissions, water consumption in response to mounting environmental pressures
Global Financial Instabilities
Risks
Opportunities
World financial instability
(As a business significantly dependant on foreign tourists, financial crises have a direct impact on SBR’s operations.)
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To secure business sustainability by diversifying the business
Local Pollution
Risks
Opportunities
Invest in cleaner technologies and anticipate for future pollution taxes
Prioritization of Key Sustainability Topics as Risks & Opportunities
SBR addresses sustainability topics in a very holistic way. Its approach is not just focused on local issues but also on international sustainability aspects.
SBR has identified the following aspects as priorities:
Global Climate Change
Global Biodiversity Loss
Global Depletion of Fresh Water Resources
Operations Financial Growth
SBR believes that it can play its role in all of the above to various extents (mostly by raising awareness on the issues). However, it also believes it can be more effective by focusing on particular aspects. For this reason, biodiversity issues have been chosen as SBR’s primary focus point.
Governance Mechanisms In Place
SBR believes that the approach is to integrate ways to manage these risks within the long term plan of the organisation rather than to ignore them. A long and slow adaptation is a better path than a sudden and unplanned change.
The risks, identified as significant, are taken into consideration during sustainability committee meetings and minimisation targets are set to address these risks.
Previously set targets and goals are then reassessed during the next meetings and a new set of targets and management decisions are taken to best address these risks.
Other Related Risks & Opportunities Identified
In addition to the primary risks and opportunities identified, SBR has also highlighted other elements:
