Associated Food Stores’ Risk Management
Frequently Asked Questions
What is risk?
Any action, process, procedure, etc. that might impede the success of an activity. A common definition states that risk is any issue impacting an organization’s ability to meet its objectives.
What is risk management?
Associated Food Stores (AFS) defines risk management as a process-driven approach that enables visualization, assessment, and management of significant risks that may adversely impact attaining key organizational objectives.
What types of risk currently exist?
Most risks fall into five categories including: compliance, financial, operational, reputational and strategic.
- Compliance risks are connected to applicable laws and regulations.
- Financial risks are risks that may result in the loss of assets or financial resources.
- Operational risks could affect the execution of ongoing processes due to the inefficient and/or ineffective use of operational resources.
- Reputational risks impair or affect Associated Food Stores’ image or reputation as perceived by others.
- Strategic risks affect the company’s ability to achieve high-level goals and objectives.
Why is risk management important?
AFS can benefit from risk management in many ways and a culture of risk awareness helps ensure the safety of the organization and its team members. Risk management allows for relevant risks to be identified, assessed, managed and monitored to ensure AFS is fulfilling its mission and purpose to all retailers, team members, vendors and others to the best of its ability.
What are the benefits of risk management?
Risk management leads to important benefits throughout the company including:
- Safeguarding and protecting resources
- More efficient, consistent operations
- More confident, successful initiatives
- Increased focus on safety and security
- More satisfied team members and customers
- A healthier bottom line
Does risk management result in someone looking over my shoulder?
No, the goal of risk management is to keep the organization, and its team members, safe. Risk management processes facilitate collaboration and communication to assess and manage risk. The goal is to minimize risk, not opportunity or resourcefulness.
Who will lead the effort?
As this is a key initiative for AFS, Jared Memmott, who has served as the AFS pharmacy compliance manager for over six years, has received the assignment to lead the company’s risk management efforts. As the director of risk management, Jared will work with teams throughout the company to mitigate company risks that may affect the organization’s reputation and stability.
What is the timeline for the new risk management process?
Implementing and managing risk is perpetual. Some risks are constant and others eb and flow. Each risk is evaluated on a multitude of factors and risks will be addressed through a collective team effort. In the coming months, Jared Memmott along with key team leaders and third-party resources, will help to identify and analyze risks across the company and its footprint.
How can I stay up to date on risk management initiatives?
Associated Food Stores is committed to keeping retailers and team members updated on the exciting progress through its enhanced communications platforms.
Member-owners and MRO retail team members will receive information from company leaders and retail account managers. Additionally, frequent updates will be provided on the “risk management” page of StoreLink.
AFS and ARO team members will receive frequent updates from company and team leaders. Information will also be distributed through Team News email. Articles, interviews, photos, and videos will all be available throughout the process to keep team members apprised and current.
If questions not answered through company communication arise, who can help?
For member-owners and MRO retail team members, questions may be directed to their retail account manager. AFS and ARO team members may ask their direct supervisor.