Datasonic Group Berhad Annual Report 2019

Statement on Risk Management and Internal Control (Cont’d) ROLES AND RESPONSIBILITIES (Cont’d) Risk Management Function The risk management function assist the Risk Management Committee in discharging their risk management responsibilities. The risk management function comprises of Risk Facilitators who facilitate risk review and amongst other are tasked to:- • Act as the central contact and guide for clarification of Enterprise Risk Management (“ERM”) issues within the Company; • Coordinate the risk management activities routinely among the various business units and/or support & administration functions, including monitoring progress of risk mitigation plans, and supervises ERM policy implementation within the Company; • Prepare reports to the Risk Management Committee and maintains relevant documentations on the ERM processes; and • Establish a common riskmanagement language that includes commonmeasures for likelihoodand consequences, andcommonriskcategoriesaswellascommunicateERMinformationwithintheCompanytocreateriskawareness amongst the staff. KEY ELEMENTS OF THE RISKMANAGEMENT AND INTERNAL CONTROL SYSTEMS OF THE GROUP TheGroup’s riskmanagement and internal control systems during thefinancial year ended31March2019andup to the dateof approval of this statement for inclusion in theAnnual Report encompassed, inter alia, the followingkeyelements:- RESPONSIBILITY AND AUTHORITY 1. Board Committees The Board has delegated certain responsibilities to the Board Committees established in the Group, namely the Audit Committee, Nomination and Remuneration Committee, Risk Management Committee and Procurement Committee. These Board Committees have oversight authorities to examine and/or consider all matters within their scope of responsibilities as defined in their respective formalised terms of references and to report to the Board with their recommendations appropriately. Regular Board and Audit Committee meetings were conducted to provide effective governance practices. Decisions of theBoardareonlymade after the required information ismade available anddeliberateduponby the Board. TheBoard reviewedandapproved thequarterlyand full year financial results announced toBursaMalaysia and shareholders, as applicable, based on the recommendationsmade by theAudit Committee. Additionally, the Board also approved and implemented the changes in Group policies to improve on the efficiency of internal process of management. 2. Management Committees i. Management Committee, led by the EXCO TheManagementCommitteecomprisestheManagingDirectorastheChairman,DeputyManagingDirector and ExecutiveDirectors of theGroup. TheManagement Committeemeets at least once every quarter and additional meetings will be held as and when considered necessary by the Chairman. TheManagementCommitteeprovidesaforumfortheManagementtodiscussonkeymanagementconcerns encompassing the strategic, operational, financial and reporting objectives, deliberation of key operational risk issues and/or challenges encountered in the undertaking of the significant projects as well as status of key resolutions decided upon by the Group. Appropriate action plans to resolve the issues or manage the risks are formulated and continuous updates were obtained in subsequent meetings from the respective parties assigned until satisfactory resolution of the action plans. 77 DATASONIC GROUP BERHAD (Company No. 809759-X) ANNUAL REPORT 2019