My EG Services Berhad Annual Report 2020

MY E.G. SERVICES BERHAD Regisration No. 200001003034 (505639-K) 46 EXTERNAL FACTOR DESCRIPTION IMPACT ON MYEG / BUSINESS MODEL IMPACTED CAPITALS RISKS OPPORTUNITIES LEGAL Issues such as protecting intellectual properties (“ IP ”), OPO QFSGPSNBODF of vendors and business partners as well as changes in government policies and legislation may cause disruptions to service delivery and the business model. Introduction of OBUJPO XJEF BOUJ corruption policies for businesses to adhere can potentially impact our internal value chain and external supply chain. The cancellation of contracts by our government partners or any changes in local legislation may result in MYEG having to cease services or to review its business model. The Group’s branding and credibility may be impacted by a legal suit even if eventually, the Group is proven be on the right side of the law. MYEG has to dedicate additional resources and time to reforming and creating new policies for the organisation and its business intermediaries to adhere to. Relationship / Social -FHBM Financial Cyberthreat /PO DPNQMJBODF XJUI laws and legislation -JUJHBUJPO Customer data misuse or leakage Susceptibility to corruption Internal assessments UP JEFOUJGZ UIF IJHI SJTL sectors or personnel in the organisation also allows the Group to thoroughly evaluate, and subsequently rectify, any procedural gaps regarding its BOUJ DPSSVQUJPO QPMJDZ implementation within the organisation. Encouraging transparent business transactions within the supply chain by only dealing with businesses that uphold good governance also serve to benefit the Group’s business DSFEJCJMJUZ BOE MPOH term operational efficiency. The analysis of the external environment provides MYEG with the ability to identify material risks as well as opportunities. Further information on the Group’s principal, financial, business, operational and strategic risks are provided in the ‘Our Risks and Opportunities’ section of this report. OUR OPERATING ENVIRONMENT (CONT’D)