Material Issues

Entrenching sustainability in the business

Management has identified material issues and risks which could impact on the delivery of the groupís strategy and on the longer-term sustainability of the business. These material issues provide the platform for the development of key focus areas and performance indicators for each operating business.

Material issue Key risk
Managing the risk of buying Ability to source desirable merchandise at targeted gross profit margins
Growing our customer base Ability to support the groupís growth targets without compromising the health of the customer list
Managing the risk of credit Ability to manage credit within acceptable risk levels given
  • Increasing indebtedness in the market
  • Legislative amendments requiring changes to existing processes
Enhancing the customer experience Industrial action at SAPO negatively impacting on the groupís ability to service customers
Implementing leading information systems Poor implementation of critical information systems, resulting in disruptions to operations and excessive costs
Managing talent and transformation Competitive labour environment impacting on the ability to attract, retain and develop staff with the necessary skills

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