Datasonic Group Berhad Annual Report 2021

2021 ANNUAL REPORT 83 1. Discretionary Authority Limits In May 2021, The Board has approved the Discretionary Authority Limits (“DAL”) which replaced the previously approved Financial Authority Limits (“FAL”). The DAL defines and covers delegation of responsibilities for the existing proposed transactions as well as newly identified proposed transactions to the new and existing Management committees and personnel for various aspects of operations to conform to the Group’s strategies and risk appetite. The DAL will be reviewed from time to time in terms of suitability, relevance and applicability with business operations and activities. 2. Standard Operating Procedures Standard Operating Procedures (“SOP”) governing the Group’s key businesses and operations are documented and approved by the Executive Directors andManagement. Continuous reviews have been carried out on the adequacy, appropriateness and comprehensiveness of SOP developed to govern the business processes and activities of the Group, to ensure compliance with applicable laws and regulations as well as significant changes and development in business and operational environment. ii. Group Tender and Procurement Committee The Group Tender and Procurement Committee (“GTPC”) comprise of the Managing Director as the Chairman, Deputy Managing Director, Executive Director of the Group and selected senior individuals within the organisation is responsible to review, recommend and approve critical decisions involving significant tender exercise and capital expenditure transaction of the Group. The deliberations and reviews performed includes evaluating risks associated with the proposed transaction to be reviewed and approved by the committee and the reasonableness of the associated mitigating factors prior to approval. iii. Corporate Disclosure Committee The Corporate Disclosure Committee (“CDC”) comprises the Managing Director, Deputy Managing 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. 4. Organisational Structures The Group has organisational structures with defined accountabilities and responsibilities, and lines of reporting for each division and department established within the Group. The organisational structures provide 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 CONTROL ACTIVITIES