2022 Environmental Social Governance (ESG) Report
RISK MANAGEMENT Our commitment to effective risk management is reflected in our strategy, which prioritizes the identification and mitigation of risks that could have an impact on our business and stakeholders. This is done through a combination of several different approaches to help ensure risk management frameworks are embedded throughout multiple levels of the organization globally. The Enterprise Risk Management program seeks to ensure that Cushman & Wakefield maintains a systematic, disciplined approach to identifying, evaluating and managing risks the organization may face. To help ensure both emerging and existing risks are regularly reviewed and assessed throughout the organization, we conduct an annual global Enterprise Risk Management assessment to review Cushman & Wakefield’s global operations. This annual assessment includes participation and input from our senior leadership to provide a holistic view of the organization and enterprise risks faced, including but not limited to those related to compliance, financial reporting, operational, personnel and strategic risks. The Enterprise Risk Management assessment is reported annually to the Audit Committee of the Board of Directors. See our 2022 Form 10-K for additional information on risks facing our business and our management thereof. In addition to our Enterprise Risk Management program, the company also regularly reviews risks at various levels of the organization through other processes. For instance, the Risk Assurance Committee framework includes quarterly reviews at both the regional and global level. The regional Risk Assurance Committees evaluate and submit their top risks quarterly, including proposed action plans to monitor and mitigate the risk, for review by and input from the global Risk Assurance Committee, which is made up of senior executive leadership. Responsibilities of the Risk Assurance
Committee include:
> Providing critical input and monitoring risk
> Escalating material risks to support decision making
> Reviewing internal audit plans
> Discussing control or security incidents and identifying mitigative measures
> Reviewing global compliance or regulatory matters
> Reviewing the Information Security Program BOARD OVERSIGHT OF RISK MANAGEMENT At Cushman & Wakefield, our Board of Directors oversees enterprise-wide risk management designed to support our strategic objectives, improve our long-term organizational performance and enhance shareholder value. While the full Board maintains overarching responsibility for risk oversight, primary oversight of certain risks has been delegated to relevant committees, which assume primary responsibility for overseeing those risks. > Our Audit Committee oversees our major financial risk exposures, cybersecurity risks, legal and compliance risks, and the steps our management has taken to monitor and control these exposures. > Our Compensation Committee oversees the design and implementation of our compensation and benefits programs and policies. Our Compensation Committee also assesses the relationship between risk management policies, practices and compensation. > Our Nominating and Corporate Governance Committee oversees our major corporate governance risks.
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