Yinson Annual Report 2020

170 Yinson Holdings Berhad SECTION 6 GOVERNANCE & LEADERSHIP statement on Risk Management and Internal Control RISK MANAGEMENT STRUCTURE Risk Department is responsible for the coordination and implementation of the Group’s Enterprise Risk Management (“ERM”) Policy and Framework as well as monitoring and reporting of key risk issues to the Management Committee (“MC”) and Board Risk Management Committee (“BRMC”). The Board approves the risk management strategies but delegates authority for day-to-day risk management decisions to Management and business unit heads. In fulfilling its oversight responsibility, the Board as a whole or through delegation to the MC and assisted by the Risk Department, reviews the adequacy, integrity and implementation of appropriate systems for risk management. Yinson’s ERM Policy and Framework identifies, evaluates, monitors and manages risks encountered by the Group. The ERM Policy and Framework are ISO 31000 compliant. Main processes of ERM Framework involve: Constant monitoring and communicating of key risks associated with any activity, function or process in a way that enables the Group to minimise losses and optimise opportunities Identification of each business risk ERM Framework Steps to ensure the relevant risk responses are formulated to the key risks identified and managed in line with Group policies and strategies Assessment of identified risk