Investor Relations

The risk and opportunity management system

Deutsche Telekom employs a holistic risk and opportunity management system, systematically exploiting the opportunities available to it to achieve its goals, while keeping sight of the associated risks. The Company faces the business challenge of making risks as manageable as possible by means of efficient procedures and appropriate risk awareness. In accordance with the Group's principles of risk management, risks are taken in a controlled manner - and only if an appropriate level of added value can be expected.

The early identification, assessment, and management of risks and oppor­tunities are an integral component of the Group-wide planning, control, and monitoring systems. Naturally, opportunities are analyzed primarily within the framework of strategy and innovation development activities. Deutsche Telekom attaches particular importance to detailed market studies, scenarios, projections, the relevant drivers and critical success factors, using them to derive specific potential opportunities for its strategic business areas and markets. In the field of innovation, Deutsche Telekom is focusing on five areas. Successfully addressing these fields of innovation gives Deutsche Telekom an opportunity for sustainable growth.

(Source: Annual Report 2005)

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