The Board of Directors (the ‘Board’) is responsible for the overall strategic direction of the Group, capital allocation and the appointment of senior management. The 2018 Annual Report contains an extensive description of the mechanisms used by the Board to exercise its governance duties: for more information, refer to pages 41-48 of the Corporate Governance Report.

Richemont has a risk management process which gives consideration to strategic and operational risks across all Group functions, including CSR risks such as sourcing and supply chain risks. These are regularly reviewed, most recently as part of the materiality assessment undertaken in 2016. We seek to eliminate or mitigate CSR risks where identified, in partnership with our employees and other stakeholders through the application of good practices.