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Key risk category
Our approach
Information Technology (IT):
System
and data security risks (cyber security
risk).
• Internal procedures in place to guide users in maintaining
adequate business information (data) and provide guidelines on
protection against unauthorised access, use and dissemination of
business information.
• Anti-virus software to protect data against malware and spyware
attacks.
The Group’s risk management context and accountability framework are expressed as follows:
Strategic Risks
Operational Risks
Financial Risks
Framework
Strategic risks are primarily
risks caused by events that
are external to the Group,
but have a significant impact
on its strategic decisions or
activities.
Operational
risks
are
inherent in the continuing
activities within the different
business units or subsidiaries
of the Group.
Financial risk is an umbrella
term for multiple types
of risk associated with
financing, including financial
transactions that include the
uncertainty of a return and
the potential for financial
loss.
Exposure
Compliance of regulatory
requirements from local
and abroad which affected
the Group policies and
procedures.
Pricing, sourcing of raw
material, dependence on
single customers and stiff
competition are the risks
facing the Group.
The Group is exposed to
various financial risks relating
to bad debts, liquidity,
interest
rates,
foreign
exchange and commodity
prices.
Accountabilities
Board and Group MD.
Heads
of
Divisions,
Departments and Business
Units.
Group MD and CFO
cascading to all Heads of
Business Units.
Amidst delivering growth for its stakeholders, the Group will continue its focus on sound risk assessment practices and
internal control to ensure that the Group is well equipped to manage the various challenges arising from the dynamic
business and competitive environment.
6.
Anti-Bribery Policy
In order to strengthen the Group’s internal control system, particularly on the corporate liability risk, the Group has
adopted an Anti-Bribery Policy which sets out the Group’s expectations for internal and external parties working with
and for the Group in upholding the Group’s commitments and stances against bribery. The Policy is in line with the new
section 17A of the Malaysian Anti-Corruption Commission Act 2009 and the Guidelines on Adequate Procedures issued
by the Prime Minister’s Department as well as other international better practices.
Statement on Risk Management
and Internal Control
Annual Report 2020
kumpulan Fima Berhad
(197201000167)(11817-V)
112