My EG Services Berhad Annual Report 2020

ANNUAL REPORT 2020 95 The Board recognises the importance of corporate governance and is committed to ensure that the principles and best practices in corporate governance as set out in the MCCG are observed and practised throughout the Group. This is to ensure that the affairs of the Group are conducted with integrity and professionalism with the objective of safeguarding shareholders’ investment and ultimately enhancing shareholders’ value. The Board is pleased to provide the following statement on how the Group has adopted and applied the principles and DPNQMJFE XJUI UIF CFTU QSBDUJDFT PVUMJOFE JO UIF .$$( BOE 1BSBHSBQI PG UIF ..-3 PG #VSTB 4FDVSJUJFT A. BOARD LEADERSHIP AND EFFECTIVENESS I. Board Responsibilities 1. Board of Directors The Group is led by an effective and experienced Board, with members from diverse background and specialisation possessing a wide range of expertise in areas such as finance, corporate affairs, accounting and marketing. Collectively, they bring broad range of skills, experience and knowledge which gives added strength to the leadership in managing and directing the Group’s operations. The Directors, individually have a legal duty to act in the best interest of the Group and are collectively aware of their responsibilities to the stakeholders for the manner in which the affairs of the Group are managed. The #PBSE T SFTQPOTJCJMJUJFT BNPOHTU PUIFST JODMVEF z working together with the Senior Management to promote good corporate governance culture within the (SPVQ XIJDI SFJOGPSDFT FUIJDBM QSVEFOU BOE QSPGFTTJPOBM CFIBWJPVS z reviewing, challenging and deciding on management’s proposals for the Group, and monitoring its JNQMFNFOUBUJPO CZ UIF NBOBHFNFOU z FOTVSJOH UIBU UIF TUSBUFHJD QMBO PG UIF (SPVQ TVQQPSUT MPOH UFSN WBMVF DSFBUJPO XIJDI JODMVEFT TUSBUFHJFT PO &44 DPOTJEFSBUJPOT VOEFSQJOOJOH TVTUBJOBCJMJUZ z supervising and assessing management performance to determine whether the business is being properly NBOBHFE z FOTVSJOH UIFSF JT B TPVOE GSBNFXPSL GPS SJTL NBOBHFNFOU BOE JOUFSOBM DPOUSPMT z understanding the principal risk of the Group’s business and recognising that business decisions involve UIF UBLJOH PG BQQSPQSJBUF SJTLT z setting the risk appetite within which the Board expects management to operate and ensure that there is an appropriate Risk Management Framework to identify, analyse, evaluate, manage and monitor significant àOBODJBM BOE OPO àOBODJBM SJTLT z ensuring that Senior Management has the necessary skills and experience, and that there are measures in QMBDF UP QSPWJEF GPS UIF PSEFSMZ TVDDFTTJPO PG UIF #PBSE BOE 4FOJPS .BOBHFNFOU z FOTVSJOH UIBU UIF (SPVQ IBT JO QMBDF QSPDFEVSFT UP FOBCMF FGGFDUJWF DPNNVOJDBUJPO XJUI TUBLFIPMEFST BOE z FOTVSJOH UIF JOUFHSJUZ PG UIF (SPVQ T àOBODJBM BOE OPO àOBODJBM SFQPSUJOH To assist in the discharge of its responsibilities, the Board has established the following board committees to QFSGPSN DFSUBJO PG JUT GVODUJPOT BOE UP QSPWJEF SFDPNNFOEBUJPOT BOE BEWJDF (i) NC (ii) RC (iii) AC (iv) RMC Each board committee operates within their approved terms of reference set by the Board which are periodically reviewed. The Board appoints the chairman and members of each board committee. The chairman of the respective board committees will report to the Board on the outcome of any discussions and make recommendations thereon to the Board. Ultimate responsibility for the final decision on all matters, however, lies with the Board. CORPORATE GOVERNANCE STATEMENT GOVERNANCE