HIW CRR 2023 v8 - Flipbook - Page 9
CASE STUDY
CASE STUDY
ENTERPRISE RISK
MANAGEMENT
ASSET RESILIENCE
INDEX
Over the past four years, Highwoods has adapted to the impacts of the
pandemic while balancing our long-term vision and growth plans. As
we move into the future, our senior leadership team has established the
following key objectives for Highwoods:
As part of our strategy to build an enduring business, we firmly believe that
a resilient portfolio must consider both financial and non-financial risks.
In 2023, our Corporate Resiliency Team, with oversight from our Investment
Committee, developed a comprehensive asset resilience index that included
a blended score of financial and ESG metrics. We combine traditional
financial key performance indicators (KPIs) for each asset with material
climate related KPIs including historical GHG emissions, as well as
susceptibility to climate physical risks, such as sea level rise, storm intensity,
flooding and other physical characteristics. This balanced scorecard provides
our leadership team additional insight into the resiliency of our assets today
and into the future.
MAINTAIN ACCESS
TO CAPITAL
ADAPTING THE TALENT MODEL
TO SUPPORT STRATEGY
In 2023, our senior leadership
team underwent a thoughtful and
systematic process for analyzing
strategic priorities, gathering risk
information and prioritizing these
risks based on the likelihood,
impact and management
capabilities with respect to each
identified risk. This process led to
the classification and stratification
of over a dozen important risks and
opportunities that were discussed
with the Board.
TRANSFORMATIVE
PORTFOLIO AND
INNOVATION
ADVANCING TECHNOLOGY THAT
ENABLES THE STRATEGY
H
Potentially Requires
Additional
Resources
6
12
3
5
RESILIENCY
SCORE
1st
Highly Resilient
79-95
2nd
Resilient
69-78
3rd
Moderately
Resilient
59-68
4th
Vulnerable
36-58
7
16
15
14
TIER
(QUARTILE)
8
4
13
1
9
11
2
Risk Exposure
CUSTOMER EXPERIENCE:
CREATING A COMMUTEWORTHY EXPERIENCE
10
17
Significant
Resources
Already Applied
L
Management Capability
H
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