[EGS Case Study] How to monitor climate risk? Insight from SK Telecom

The ESG Management Group at SK Telecom detects and identifies climate-related risk and opportunity using monitoring (management) process from the five perspectives of regulation, technology, market, company reputation, and physical environment, and materiality assessment is conducted on the identified issues, taking into account indices for business impact (Product and service, supply and value chains, R&D investment, and the direct operations) as well as for financial impact (Income statement: profit & cost, balance sheet: asset, debt & capital, and financing). Results of the assessment are reported to the CLO who, in turn, selects issues in line with materiality assessment standards and reports them to the CEO and the ESG Committee. The CEO receives report on all main issues and makes decision on every issue except for key issues. In addition, opinion from the CEO is submitted along with key issues to the Committee where final decision is made on them, considering the opinion of the CEO.

Source: SK Telecom CDP Response 2022 (C1.2a)