Datasonic Group Berhad Annual Report 2020

DATASONIC GROUP BERHAD I ANNUAL REPORT 2020 (Registration No. 200801008472 (809759-X)) 81 KEY ELEMENTS OF THE INTERNAL CONTROL SYSTEMS OF THE GROUP (CONT’D) CONTROL ENVIRONMENT (CONT’D) 3. Management Committees i. Management Committee, led by the EXCO TheManagement Committee (“MC”) comprises theManaging Director as the Chairman, DeputyManaging Director and Executive Directors of the Group. The MC meetings will be held as and when considered necessary by the Chairman. The MC meetings provides a forum for the Management to discuss on key management concerns encompassing the strategic, operational, financial and reporting objectives, deliberation of key operational risk issues and/or challenges encountered in the undertaking of the significant projects as well as status of key resolutions decided upon by the Group. Appropriate action plans to resolve the issues or manage the risks are formulated and continuous updates were obtained in subsequent meetings from the respective parties assigned until satisfactory resolution of the action plans. ii. Management Procurement Committee The Management Procurement Committee (“MPC”) comprises Executive Directors and Management is responsible to review, recommend and approve critical decisions involving significant purchases, acquisition and capital expenditures of the Group. The deliberations and reviews performed includes evaluating risks associated with those critical procurement decisions and the reasonableness of the associated mitigating factors prior to approval. iii. Corporate Disclosure Committee The Corporate Disclosure Committee (“CDC”) comprises theManaging Director, DeputyManaging Director, Senior Vice President of Operations, Senior Vice President of Finance and Head of Company Secretary, is responsible to ensure appropriate and timely corporate disclosures to shareholders, stakeholders and investors in accordance with the MMLR of Bursa Malaysia and applicable laws of Malaysia. iv. Strategic Management Committee StrategicManagement Committee (“SMC”) comprises Executive Directors andManagement to complement the MC is responsible to set the centralized business strategy and plans, govern and monitor the implementation of the approved business strategies and plans as well as performance review on the on- going projects and business prospects. 4. Organisational Structures The Group has a clear organisational structurewithwell-defined accountabilities and responsibilities, and lines of reporting for each division and department established within the Group. The organisational structure provides the basic framework to help the Group’s operations to proceed smoothly and functionally as well as ensuring proper supervision, coordination and a sense of accountability among the employees. Statement on Risk Management and Internal Control (Cont’d)