Section 4 UEM Edgenta Berhad HOW WE CREATE VALUE 66 COMPLIANCE RISK PEOPLE RISK Context • A substantial segment of our business operations revolves around concessions, notably within Healthcare Support and Infrastructure Services, which are subject to rigorous regulatory scrutiny and compliance measures. • The geographical diversity of our business and customer base exposes us to potential noncompliance issues and litigation risks. • Upholding integrity across our business operations and endeavours necessitates strict adherence to good corporate governance practices, regulatory frameworks and listing requirements. • Any setbacks could lead to the suspension of vital authorisations, licenses and/or rights. The absence of regulatory clarity adversely affects our operations, reputation and investment choices. Mitigation • The Group meticulously manages contractual agreements with its customers, contractors and vendors through service-level agreements and contracts. • We conduct regular assessments to ensure ongoing compliance, accompanied by continuous updates to policies and procedures to maintain their adequacy, effectiveness and relevance. • We continue to foster and prioritise a culture of integrity and compliance within the organisation with internal processes rigorously enforced throughout operations. • We maintain close collaboration with regulatory bodies and stay abreast of emerging legal and regulatory requirements, as well as industry standards and practices. • Our robust Whistleblowing channels are established to provide employees, stakeholders and the public with a means to report any instances of actual or suspected malpractice, misconduct or violations of the Group’s policies and procedures. Context • Our personnel represent one of our most valuable assets and fundamental pillars of success for the Group. Their role is paramount as they form the foundation of our capability to execute the Group’s strategies and provide the necessary services and deliverables to our customers and stakeholders. Mitigation • We are crafting an Employee Value Proposition aimed at providing our employees with an unparalleled experience in exchange for their productivity and top-tier performance. This initiative goes beyond recruiting the right talent; we are committed to retaining the finest by consistently benchmarking against industry standards. • Our robust succession planning framework and strategy are being implemented to identify and cultivate the right talents for pivotal roles within our organisation. • Through Edgenta Academy, we are rolling out continuous training and development programmes designed to enhance and diversify the skill sets of our workforce, ensuring they are equipped with the latest talents and knowledge. Compliance risks entail the possibility of breaching laws or neglecting regulatory obligations. Failing to comply can profoundly disrupt the Group’s business activities, resulting in legal and regulatory sanctions, financial losses and harm to its reputation. This could compromise the Group’s position and trustworthiness within the industry and with stakeholders. Securing and nurturing a committed and skilled team, equipped with the necessary knowledge, training, expertise and experience to accomplish our strategic goals, stands as a cornerstone of our success at UEM Edgenta. Challenges in attracting, assimilating and retaining the talents and proficiencies essential for our sustainable growth and performance could significantly impede our progress. RISKS AND MITIGATION
RkJQdWJsaXNoZXIy NDgzMzc=