Key Risks Description Mitigation Strategy Liquidity Risk • Project delays • Supply chain issues • Annual budgeting process participated by all heads of department resulting in a more accurate projection of funding needs of the Group • Review of cash flow forecast is carried out on a weekly basis and monitoring 12 months rolling cash flow on monthly basis • To diversify funding source/lender • Review existing projects’ cash flow requirements Poor Market Outlook • The property market remains challenging though it has improved since the transition to the COVID-19 endemic phase • High inflation risk due to the Russia-Ukraine war • Political instability in Malaysia • Rebalance product mix to incorporate more owner-occupier products and affordable landed residential with strong local demand • Commitment to integrating technology into our operations and using digital tools to minimise business interruption • Online sales tools to help sales staff and agents sell online • Strengthen digital marketing efforts using videos, advertisements, contests, and partner promotions • Arrange SPA signing via courier of documentation & video conferencing with lawyers • Offer customers appealing sales packages, financing solutions, and incentives to overcome home-buying difficulties RISK MANAGEMENT INTEGRATION WITH SUSTAINABILITY The Risk Management Department continues to align sustainability reporting and efforts with the Group’s entire business operations throughout the financial year as sustainability has affected all parts of the Group, including risk. Environmental, Social, and Governance (ESG) metrics are used to evaluate the Group’s social responsibility and sustainability performance. The Group, with Board permission, remains to report material sustainability matters in accordance with regulatory requirements, as revealed on pages 56 to 61 of the Sustainability Statement. KEY INTERNAL CONTROL SYSTEMS AND STRUCTURE The Board and Management of the Group has put in place the following key internal controls to ensure that the Group’s objectives and operational effectiveness: Remuneration Commitee Risk Management and Sustainability Committee Audit Commitee Investment Committee Nomination Commitee Pricing Commitee Board Committee In undertaking its oversight function, the Board is supported by six Board Committees whose responsibilities are outlined by specific terms of reference and authority assigned for areas within their scope. The Committees are: 135 GOVERNANCE
RkJQdWJsaXNoZXIy NDgzMzc=