Dagang NeXchange Berhad Annual Report 2019

CORPORATE ACCOUNTABILITY annual report 2019 71 RISK MANAGEMENT The Board recognises that risk is an inherent part of the Group’s business, presenting both threats and opportunities. In order to achieve corporate goals and meet shareholders’ expectations, the Board would have to make decisions which will involve some degree of risk. The Group has established an Enterprise Risk Management Framework that is applicable across the Group to facilitate a structured framework approach to risk management to achieve a level of adequate and standard reporting on strategic, financial and operational aspects within the Group. The Board delegates to the Management the responsibility to effectively identify, evaluate, manage and monitor risks on quarterly basis and review the effectiveness of the Group’s internal control systems, taking appropriate and timely corrective actions as required. Risk Governance The Group risk management governance structure is illustrated as below: B O A R D O F D I R E C T O R S E X E C U T I V E D E P U T Y C H A I R M A N C H I E F F I N A N C I A L O F F I C E R N O M I N A T I O N & R E M U N E R A T I O N C O M M I T T E E B O A R D P R O C U R E M E N T & T E N D E R C O M M I T T E E A U D I T C O M M I T T E E E M P L O Y E E S H A R E O P T I O N S C H E M E C O M M I T T E E H E A D S D I V I S I O N S R I S K M A N A G E M E N T U N I T I N T E R N A L & E X T E R N A L A U D I T O R S BOARD COMMITTEE RISK OWNERSHIP RISK OVERSIGHT ASSURANCE