KUMPULAN FIMA SUSTAINABILITY REPORT 2019

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Governance
Many of our activities are highly regulated by laws and
regulations relating to health, safety, environment and
community impacts. We are committed to complying
with the laws and regulations of the countries in which we
conduct business and, where applicable, to exceeding legal
and other requirements that are less stringent than our own
because we believe high governance standards are integral
to ensuring the Group’s future viability andmaintaining our
social license to operate.
We have a comprehensive system of stewardship
and accountability that meets the requirements of all
applicable rules, regulations, standards and internal and
external policies.
Our diverse and highly engaged Board of Directors
brings a range of viewpoints and deep expertise
that helps ensure effective oversight of our strategic
priorities and operations, having regard to the interests
of shareholders, customers, suppliers and the wider
community. The Board is supported by dedicated Board
committees, each with its own charter setting out its
roles and responsibilities. The Group Sustainability
Committee steers our sustainability activities and is
presently chaired by a Senior Independent Non-Executive
Director of Fima Corporation Berhad thus ensuring that
we have Board-level oversight of the critical sustainability
issues affecting the business and how they should be
managed. At management level, the Heads of Division
comprises the Group’s most senior executives. There is
a delegation of authority framework that clearly outlines
those matters delegated to the Group Managing Director
Accountability and reporting
Delegation and oversight Delegation and oversight
Accountability and
reporting
Accountability and
reporting
The Board delegates powers to the Group
Managing Director for all matters except those
reserved for the Board or it’s Board Committees
The Company Secretaries role is to support
the Board and its Committees
Sets the direction and
translates Group’s
strategy into clear
expectations, standards
of performance and
behaviour for their
division
board of directors
company secretaries
senior management
independent
assurance
audit & risk
committee
nomination &
remuneration
committee
other
committees
group managing director
risk management committee
Group sustainability committee
disclosure committee
ad-hoc committees & teams
heads of divisions
- Internal auditor
- External auditor
- Legal & professional
advisor
of KFima and other members of senior management. In
addition, ad-hoc committees are established to deal with
particular sets of ongoing issues.
The business units are also responsible for adopting
sustainability strategies to their operating needs,
as well as providing the resources needed for its
implementation. They align their brands, technologies
and sites involved in sustainability with the specific
challenges and priorities of their business portfolio. In
addition, our suppliers and contractors are also required
to observe the Group’s commitments on issues such as
health and safety, environment, human rights and local
labour laws.
The Corporate Governance Overview section
can be read in our Annual Report and website at
We also require all our business units to implement
appropriate levels of risk management to ensure
compliance with all relevant legislation, health, safety and
environment policies, our overriding business principles
and Group policies relating to them, taking into account
business needs and local circumstances.
Each business has developed and documented policies
and procedures to comply with the minimum control
standards established over specified processes,
including procedures to mitigate risks, monitoring
compliance and taking corrective action. Further
details of our risk management can be found in the
Statement on Risk Management and Internal Control
section in the Annual Report.
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Kumpulan Fima Berhad (11817-V)
SUSTAINABILITY Report 2019