Corporate Risk Management
The Company conducts a corruption risk assessment in all departments of the Company and its subsidiaries. Each department identifies risks possibly arising from corruption, score level of opportunity and impact of risks, including approaches to minimize risks and measures on corruption prevention or anti-corruption. The risk assessor considers risks from the nature of business activities, operational processes, situations of the industry, business terms, including policies relating to anti-corruption measures and a manual on policies relating to anti-corruption measures that identifies the specific procedures of each policy, such as receiving or offering gifts, providing subsidy or political actions. All directors, executives, supervisors and employees of the Company and its subsidiaries must strictly comply with these rules and policies communicated by the Company and trained to employees.
The Company did not detect any significant issues or defects regarding litigation on anti-competition, destruction of credibility, monopoly of trade, incidents of discrimination, and corruption. In addition, there were no fines or non-fine penalties due to inconsistent operations with applicable laws or regulations and violations of Code of Conduct.
6 Steps for Risk Assessment
Risk Identification Supervisors identifies the potential corruption risks by taking the results into action
- When planning an internal audit plan
- When there is an Audit Checklist in the system audit process.
Risk Assessment The assessor identifies the severity of the risk and how it affects the achievement of the objective by considering the level of likelihood and impact that may arise from risks. When encountering issues/ findings that the risk is medium, high, or very high, the risk management plan and risk appetite shall be reported to the Audit Committee, Risk Management Committee, Corporate Governance and Sustainability Development Committee.
Risk Management Defining strategies or activities to manage risks in accordance with risk appetite of the Company.
Control Activities A policy or practice is applied to implement a control, such as approval, review, reconciliation, separation of duties, to ensure that the risk management has been performed appropriately and timely.
Risk Management Monitoring and Reporting Monitoring and improving risk management activities to ensure continuity and appropriateness of the situation by collecting and presenting corruption risk information to the Audit Committee, the Risk Management Committee, and the Board of Directors for consideration and approval at least once a year.
Communication Risk management is communicated according to the opinions of the Audit Committee and the Board of Directors and then notified to the relevant department. Issues / findings are communicated to each department as follows;
Issues / findings are communicated to each department as follows:- Internal Audit and Corporate Governance Section
- Risk Management Section
- Quality System Section
Establishment of Guidelines for Control, Prevention and Monitoring of Risks on Corruption
The Chief Executive Officer is a model organization leader in implementing an anti-corruption policy strictly as follows;
- Message from the Chairman of the Executive Committee on Anti-Corruption Measures is informed to all groups of stakeholders to demonstrate their commitment to anti-corruption action.
- Being appointed to the anti-corruption Cooperation Subcommittee in order to consider the approach on anti-corruption cooperation and the enhancement of transparency in procurement of the Ministry of Finance.
- The Company signed and became a member of the Partnership against Corruption for Thailand (PACT Network).
- Supports the Company's online knowledge test on anti-corruption measures and offers rewards to employees who obtain the highest score.
- Supervising executives and supervisors to communicate corruption risks through project meetings, and providing cooperation in responding to survey forms and interviews with private companies on corruption issues of the Thai Institute of Director (IOD).
- The Company has been certified as a member of Thailand's Private Sector Collective Action Coalition Against Corruption (CAC) from Thailand's Private Sector Coalition Against Corruption Committee to sign the project as a Private Sector Collective Action Coalition Against Corruption for Small and Medium Enterprises (CAC Change Agent). The Company was announced to be a CAC Change Agent as the Thai Private Sector Collective Action Against Corruption for 2 consecutive years.
This model practice of organizational leaders is to build the confidence to all employees to provide cooperation on anti-corruption. All employees strictly adhere to the anti-corruption policy. The Company prepares the procedures on compliance with anti-corruption policy in order to control, prevent and monitor risks from corruption. The Company discloses such procedures on its intranet and also communicates knowledge on the anti-corruption policy and practices on a quarterly basis has been communicated to all employees of the Company and its subsidiaries via channels of e-mail, Line Group, public relations boards at various areas within the headquarters, and all project offices of the Company, including its subsidiaries. New employees will be informed of the anti-corruption policies and procedures as soon as they start working. Trainings are always provided to employees at the orientation of new employees, including public relations to third parties and all business partners of the Company.
Furthermore, it also establishes the procedures for recording and collecting statistical data on the number of whistleblowing, type of whistleblowing, number of whistleblowing being investigated and implemented, summary of investigation results of each complaint, including annual statistical reports on whistleblowing or complaints to the Audit Committee and the Board of Directors in writing. This is for the benefits of monitoring progresses and improvement of the Company's operational processes that may cause all forms of corruption.
According the Company’s process of the assessment of the risk from corruption, the assessment results are applied to establish policies and procedures in order to prevent corruption, whether it is in the form of a bribe, return, gift or conflict of interest, etc. A responsible is assigned to supervise the established procedures in order to control, prevent, and monitor implementations that may cause risks from corruption under the supervision of the Management. The Management conveys its intentions to business partners and business alliances, for example, conveying the intention to encourage employees of the Company and communicating to contractors about the commitment to corruption prevention which contractors can express comments / inform issues that are not treated fairly to the senior executives directly or via email: anti-corruption@supalai.com.