EGCO Group has designed a risk management system and internal control to be appropriately independent of each other. The risk Oversight Committee is chaired by an independent director, with directors and the president as committee members, and the executive vice president of corporate strategy as the secretary of the committee.
The Risk Oversight Committee is responsible for evaluating, reviewing, validating, and commenting on corporate risk management policy and framework, determining acceptable risk levels and acceptable deviations, overseeing risk identification, impact assessment and probability, and monitoring and evaluating the performance of risk management planning and overall process, giving advice and supporting the Board of Directors and Management with regard to risk management relating to EGCO Group’s business operation appropriately and efficiently, as well as reporting the results of risk assessment and mitigation measures to the Board of Directors on a regular basis.
At the management level, Risk Management Committee, chaired by the president, comprises all executive vice presidents of the committee and the Risk Assessment Division manager as a secretary. The risk Management Committee is responsible for overseeing the implementation according to EGCO Group’s risk management policy and guidelines, promoting and supporting risk management throughout the organization as well as at the operational level, and reporting risk management performance to the Risk Oversight Committee and Board of Directors on a regular basis. In addition, if a new risk that could significantly affect EGCO Group is identified, Risk Management Committee must report such risk to the Risk Oversight Committee and Board of Directors in a timely manner.
In order to support risk management implementation, EGCO Group has assigned Risk Assessment Division as a secretary of the Risk Management Committee and assistant secretary of the Risk Oversight Committee. It is responsible for monitoring and reporting the risk management practice in compliance with EGCO Group’s policy and guidelines, as well as supporting risk owner unit in identifying the risk, evaluating risk level, and determining measures to minimize the risk to an appropriate level prior to reporting to the Risk Management Committee.
In addition, EGCO Group has assigned Risk Assessment Support and Internal Audit to evaluate organization’s activities, which include the activities in operational level, independently both in Thailand and overseas, and provide advice to relevant units to ensure the efficiency of EGCO Group’s internal risk management system. Their performances are reported directly to the Audit Committee, which is responsible for approving internal audit plans, assigning and dismissing, and evaluating the performance of the Internal Audit Manager to ensure the independence of the Internal Audit Department. The risk Assessment Department is required to report risk management performance to Audit Committee every 3 months.