Saturday, December 4

CMS plans to enhance corporate governance

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KUCHING (November 25): Cahya Mata Sarawak Berhad (CMS) unveils plans to enhance corporate governance, management accountability and proactively raise its risk management capability.

This is following a review of financial and investment activities undertaken by its appointed independent financial advisor.

“The company would also embark on a human capital transformation programme to build a culture of governance and growth across the group to strengthen the accountability and integrity at all levels of senior management,” CMS said in its statement.

In a statement to Bursa Malaysia, the company said key measures included strengthening risk oversight at board level on enterprise material risk and to provide updates on key projects on a timely manner so that the board will be continuously appraised of such risk exposure.

CMS is also setting up of an investment committee chaired by the group managing director to review and recommend all proposals and investments to the Board for information and approval as appropriate and timely.

“CMS is also setting up an independent group risk division to drive risk management throughout the Company and wants to strengthen accountability and integrity at all levels of senior management to further build a culture of governance and growth across the group,” said CMS.

The company has thus already taken initial steps toward this direction by bringing in several key leaders including head of  risk, chief technical officer, chief of staff and head of compliance.

It expects to augment these initiatives with a group-wide revamp of processes, procedures and controls to improve project bidding, monitoring of project costs and significantly improve project management.

“The company expressed confidence that it would drive higher returns for its business and investment activities, unlock shareholder values and would be able to deliver better results with these initiatives,” said CMS.

The realignment of management structure to drive governance, transparency, accountability and to inculcate the culture of pro-active risk management is aimed at delivering value to all stakeholders.