45 ENRA GROUP BERHAD ANNUAL REPORT 2025 • FINANCIAL AND PROJECT GOVERNANCE ENRA’s Group Finance Department (“GFD”) upholds a clear vision and mission. It operates under an efficiently designed organisational structure led by a dedicated management team with relevant business and technical expertise. The department adheres to established finance policies, standards, and procedures, which are regularly updated to enhance operational efficiency. Furthermore, ENRA has implemented the Limit of Authority Policy, which centralises transactional approvals at the Executive Director and Chief Financial Officer levels. Rigorous scrutiny and assurance of financial control and reporting occur through internal and external audits. Meetings with the EXCO serve as the primary monitoring process for all Group departments and subsidiaries. The Group holds Bi-weekly Group Management Committee (“GMC”) Meetings, providing comprehensive information to Management for effective monitoring. Additionally, Monthly Performance Review (“MPR”) meetings assess performance against strategic plans, encompassing key financial, operational, oil & gas, and property venture indicators. ENRA enforces detailed budgeting processes, necessitating periodic budget reviews by all business units. These budgets undergo discussion and approval by the President & CEO and subsequently the Board. The Group Chief Financial Officer delivers quarterly financial information to the Board, ensuring the exposure of significant variances. RISK MANAGEMENT ENRA has sound risk management framework and systems of internal control to safeguard shareholders’ investment and the Group’s assets, including EESG risks. The Board ensures the adequacy, effectiveness and integrity of the internal control systems through regular reviews, accompanied by ongoing risk management process. Risk management deliberations, including EESG risks, involving the Board are done every quarter of the year. Readers can view how ENRA implements the its risk management framework and systems of internal control in the Statement of Risk Management and Internal Control (“SORMIC”) of ENRA’s AR2025, from pages 87 to 92. LEGAL COMPLIANCE ENRA remains committed to strict compliance with its established policies, protocols, industry standards, and applicable laws. This commitment to regulatory compliance is upheld through a combination of internal audits and external audits conducted within specific business divisions. Hence, in FYE 2025, the Group remained free from any regulatory censures or fines resulting from non-compliance with environmental, social, or economic laws, regulations, or standards. Additionally, there were no regulatory actions taken against the Group in the areas of corporate integrity, anti-corruption, or corporate governance. • COMPLIANCE PROGRAMMEES In FYE 2025, the Internal Audit team completed a holistic Corporate Governance Review of EGB with reference to the Malaysian Code of Corporate Governance 2021, ESG updates and reporting in line with the Main Market listing requirements as a guideline. In addition, four routine audits were conducted covering the MRO Services division, Property Development division and Information Technology (“IT”) function, along with assessments on the code of business conduct in accordance with the ARMSC’s approved annual review schedule. The area of coverage is aligned with the Group’s Risk Management assessment covering Finance, Human Resource, Operations, Procurement, Inventory, General IT, Sales, Marketing, Fraud Assessment and Project Management. The Group also proactively enhances employees' knowledge and awareness through a series of training sessions, regular dissemination of digital alerts from GCGD, internal memos from GHCA, as well as Group Commercial’s training and Procurement’s compliance checks. These initiatives are carried out in addition to GCGD’s annual programmes. Sustainability Report (Cont’d)
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