My EG Services Berhad Annual Report 2019

MY E.G. SERVICES BERHAD [Registration No. 200001003034 (505639-K)] 46 These practices and measures have proven to be effective in the defence of our IT system against cyber-attacks during FP2019 in which we have remained operational with zero unscheduled service downtime. We are happy to report that we have successfully completed the implementation of our Content Security Policy (CSP) across MYEG in FP2019. Going forward, we will continue to invest in security systems and staff training and ensure compliance with our technology security protocols to safeguard our IT infrastructure. Business Model Government Concessionaire Due to the nature of our business as a government concessionaire, our business model is inevitably linked to the governments of countries we operate in. Any change in government, policies and legislature has the potential to impact how we conduct business and affect our financial and non-financial performance. Though such developments are beyond MYEG’s control, we have put in place several strategies as part of our robust risk mitigation measures in anticipation of these challenges: 1 2 3 4 5 6 7 Active engagement and management of relationships with government officials and regulatory authorities at the working and ministerial levels to mitigate potential change in legislation (see page 43 for more information on Stakeholder Engagement); Remaining apolitical in our dealings with governments and officials and in our public communication to manage public perception; Improving products, solutions, and customer experience to provide best-in-class services to maintain our market leadership in e-services (see page 49 for more information on our Intellectual Property); Market diversification to reduce reliance on a single country; Ensuring a balanced and diversified revenue mix between e-government and commercial services; Employing sound ethical business practices aligned with the laws of countries we operate in (see pages 48 to 49 for more information on our Ethical Business Conduct); and Conducting a comprehensive legal review and due diligence to ascertain the level of risk associated with governmental or legal issues (if any). We are confident that our ethical business practices, our competitive edge as well as our relationship capital with our key stakeholders, place us in good stead to continue operating with the sanction of any government as long as we serve the needs of its citizens. MATERIALITY (CONT’D)