Risk and risk management
All business activities are associated with risks. Risks that are managed well can lead to opportunities and create value, while risks that are not managed properly can lead to damage and losses.
The ability to identify, assess, manage and monitor risks is an important part of the management and control of Scandic’s business operations. The aim is that the Group’s objectives will be achieved through well-considered risk-taking within established limits.
The risk management process includes strategic, operational and financial risks.
Scandic has good underlying risk diversification in the form of a geographically diverse and balanced customer base. The Group operates primarily in the Nordic market through about 280 hotels that serve its main target groups: business and leisure travelers. Of the Group’s revenues, corporate travel accounts for approximately 70 percent and leisure travel for about 30 percent. Scandic is not dependent on a specific industry or a few customers.