Risk management

The Board of Directors of Amer Sports approves and endorses the company’s Risk Management Policy. This policy defines the objectives, principles, processes and responsibilities concerning risk management within Amer Sports companies. 

The risk management process is embedded in the business management in order to support the accomplishment of the company’s strategic business targets and financial reporting objectives. Responsibility for risk management rests with Amer Sports’ operating segments/areas, sales and supply chain organizations and support functions, all of which report regularly on the main risks connected with their operations to Amer Sports management.

The management of financial risks is centralized within Amer Sports’ Treasury function. Guidelines for risk management are set out in the Financial Risk Management Policy, which is approved by the Board of Directors and encompasses the principles and risk limits connected with the company’s balance sheet structure, relationships with financial institutions and other financing risks.

Reporting segments

Amer Sports’ primary reporting segments are based on the company’s operating segments: Outdoor, Ball Sports, Fitness and Headquarters. The secondary reporting segments are regions: the Americas, EMEA and Asia Pacific. In overseeing the company’s operations, the President and CEO and other executives make use of weekly sales reports, monthly financial reports, and regular meetings with the management teams of operating segments/areas and regions.

Financial reporting

Financial reporting is carried out in a harmonized manner in all Group companies. Amer Sports’ accounting policies are based on the International Financial Reporting Standards (IFRS). In addition to IFRS, more specific Group policies and guidance are provided in Amer Sports’ accounting policies manual (Corporate Manual). Amer Sports’ Finance function is responsible for maintaining the company’s accounting policies and reporting systems, and also performs monitoring to ensure that these reporting policies are followed. The Group’s operating segments are responsible for providing their own financial statements. Amer Sports’ Finance function provides consolidated financial statements.

Enterprise Resource Planning

Amer Sports is in the final phase of implementing a Group-wide ERP (Enterprise Resource Planning) system. This includes a harmonized chart of accounts and structures enabling a more efficient control environment. Amer Sports’ Finance function is responsible for monitoring the implementation of SAP rollouts. The Amer Sports Internal Control and Risk Management framework includes elements from the framework introduced by the Committee of Sponsoring Organizations (COSO).