Risk appetite and tolerance are essential components of our strategic planning, and it is the responsibility of our senior business leaders to plan accordingly.
We firmly believe that good corporate governance practices serve the long-term interests of our stockholders, strengthen 3M’s Board of Directors and management, and further enhance the public trust 3M has earned from more than a century of operating with unwavering integrity and doing business the right way.
Our governance includes broad risk oversight by the Board and its committees. Risk analysis is reported to the full Board by both the general auditor and the chief ethics & compliance officer. The general auditor and the chief ethics & compliance officer are senior vice president positions appointed by, and reporting to, the Audit Committee of the Board.
We are committed to discovering and preparing for all potential threats to our ability to deliver on our Promise for our customers.
Risk owners familiar with the environmental, economic, and business aspects within the company are interviewed and requested to complete a thorough assessment for their respective risks. Together with subject-matter experts and senior management, the outcomes are mapped to demonstrate the relative level of risk and likelihood of risk. This “heat map” identifies the highest-risk areas and shows where to focus our internal efforts.
Our external resources and data are also continually reviewed to assist in the risk identification process. The results of our risk assessment exercises are shared with the Corporate Operating Committee and the company’s full Board of Directors.
The ongoing and potential impacts of the pandemic continued to be a core focus in 2021. Keeping our people and communities safe, supporting the fight against the pandemic, and assuring business continuity remained our top priorities.
Our efforts toward keeping our people and communities safe included evaluating approaches and processes to support a return to work based on the latest science and evolving employee health and safety guidance.
To help support the fight against the pandemic and assure business continuity, we directed our attention to actively managing inefficiencies in the global supply chain, avoiding disruptions, and navigating widespread raw materials and logistics challenges — all with a relentless focus on customer service.
Learn more about how 3M is helping in the fight against COVID-19.