COMPANY RISK MANAGEMENT
In order to implement the principles of good corporate governance, the Company has formed a Risk Management Work Unit (SKMR) based on the Decree of the Board of Directors Number: 075/IP-LEGAL/BOD/SK/XII/2022 on December 19, 2022. SKMR has functions and duty to manage and prevent Company risks.
Risk management is part of the Company’s control efforts by maintaining a sustainable business existence from business risk factors that can hinder the Company’s business continuity. For this reason, the Company is committed to implementing risk management in dealing with various types of risks such as operational risk, financial risk, strategic risk, safety and environmental risk as well as other risks related to the business activities carried out.
The implementation of the Company’s risk management is carried out to accommodate risk management in the form of risk identification, prevention of potential risks as well as their mitigation. In terms of prevention and prosecution, it is carried out in an integrated manner by cooperating with related organs such as the Internal Audit Unit and the Internal Control System Manager. This form of integration is carried out in the form of an Early Warning System.
Meanwhile, the Company’s risk management is carried out through the formulation of risk mitigation procedures based on the assessment of the types of risks that have been mapped in the Company’s risk tolerance index.