OUR BUSINESS AND STRATEGY RISK AND MITIGATION MYEG presents a summation of its principal business, operational and financial risks, and continues to be vigilant against its identified risks which include business, financial, strategic and operational risks, as well as ESG risks. The Group’s risk management framework and policy are guided by ISO31000. The Board oversees risk-related matters which include financial and operational risks as well as ESG related risks. For detailed information on MYEG’s internal risk management mechanism, please refer to our Risk Management and Internal Control Statement within this report. This section provides specific information on risks. Information on Opportunities is provided in the Strategies to Sustain Value Creation Section. Risk Description of Risk Linkage to Materiality Who Does this Risk Impact? MYEG? Employees? Society? Investors? Mitigation Action Plans Technology related risks Risks of technological obsolescence, costs spent to develop technologies that may be rendered irrelevant due to fast emerging developments. Competitive edge and market positioning affected due to changing technologies. Technology is a double-edged sword that could allow us to gain first mover advantages; or be impacted by others. Intellectual property Cyber security Business model Customers Employees Investors Kindly refer to our Strategies to Sustain Value Creation section. Non-renewal of e-Government services Non-renewal or delays in renewal due to governmental / political factors can impact the business model. Political factors are beyond the Group’s control. However, the value of what MYEG provides transcends the politics of the day and is meant to serve the citizens. Given MYEG’s excellent delivery and compliance to KPIs for all e-Government services, the risk of non-renewal remains low. Customer experience Strong Technological And Innovation Capabilities Business model Customers Government and Regulators Investors Community and general public Kindly refer to our Strategies to Sustain Value Creation section. Cybersecurity risks The risk of hacking, phishing, malware and other cyber threats could have an impact on service delivery resulting in downtime and affecting customer transactions. There would also be potential loss of brand trust and reputation. Cyber security Intellectual property Customers Government and Regulators Community and general public Kindly refer to the Sustainability Statement. Reduced Consumer Demand Risks Sluggish economic conditions may reduce the spending power of customers as well as business growth and expansion plans, which could impact the demand for and pricing of MYEG’s services. Business model Customers Community and general public Investors Kindly refer to our Strategies to Sustain Value Creation section. ANNUAL REPORT 2023 47
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