Magnitogorsk Iron & Steel Works (MMK) won in the international Russia and the CIS Best Risk Management of the Year contest.

The competition was coordinated by the Russian Risk Management Society, with the support of the Association of Regional Russian Banks, the Russian Union of Entrepreneurs and Employers, and the National Fund Association.

This isn’t the first time MMK has taken part in such a contest. In fact, the enterprise’s risk management experts won prizes in 2006 and 2007. In 2006, the company also won in the Best Risk Management Project among Russian Companies contest in the Best Risk Management Project for Non-Finance Sector category. This one was organized by Expert R.A. rating agency.

MMK’s PR Department reports the company is Russia’s first ferrous metallurgy business to have developed and launched a multi-faceted risk management system that meets the international risk management standards. Prior to the introduction of this system, MMK underwent several risk management development stages: the insurance guarantees for the company’s property interests and the ways of assessing and decreasing loan and foreign currency risks were introduced in 1998, whereas by 2005, the enterprise had started using the all-round risk management system. Within eighteen months, the company adopted a special risk management policy, risk management standards, codes, and instructions and had its risk management experts properly trained. Besides, risk reports and a risk map get produced on a yearly basis now, whereas the system is improved upon continually, including, for instance, Oracle-based robotization.