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CHAIRMAN’S DELIVERING MSM MANAGEMENT DISCUSSION GROUP FINANCIAL
STATEMENT VALUE OVERVIEW & ANALYSIS REPORT

STATEMENT ON RISk MANAGEMENT AND INTERNAL CONTROL

RISK MANAGEMENT ACTIVITIES

Continuous integration between strategies and risk management was carried out to ensure risk management approach is
embedded into business decision.

Listed below are the key risk management activities undertaken by CGRM to reinforce the risk management culture within
the Group:

Activities Description
quarterly Risk CGRM published its Quarterly Risk Report as a reporting tool to inform the Management,
116 Reporting for MSM Board Committees and Board of the key risks horizon associated with the Group’s business and
Group operations covering the top 10 and other key risks.
MSM MALAYSIA HOLDINGS BERHAD Annual Report 2020
Review of Risk Existing risk registers were reviewed jointly with the respective risk owners at Operation Site
Registers via MsTeam approach, to ensure the analysis and corresponding mitigation measures and action
plans were effective and adequately documented.
Call Tree Structure The MSM Group call tree structure was reviewed and enhanced as part of the Business
Continuity Plan (BCP). The structure review is to ensure the effectiveness of the BCP designed
for MSM Group.

COVID-19 Pandemic
In 2020, a significant Pandemic that threat to public health emerged. Giving an alarm on the risk: COVID-19 pandemic.
MSM Group has been taken an action to manage the COVID-19. Action taken as follow:

Action Taken Description

COVID-19 Committee In view of the rapidly evolving situation surrounding the COVID-19 pandemic, the Board and
the Group’s Management are closely monitoring and pro-actively managing this situation and
its corresponding impact to business and operations. The Top Management has set up the
COVID-19 Committee via WhatsApp Group and has been chaired by GCEO. The Committee
has been updated on the information from each respective Subsidiary on the Positive case that
may affected the Employees on daily basis. This will give the Top Management enough time to
take an action. The guidance and directive through the Committee facilitate MSM in handling
the COVID-19 situation.
COVID-19 Response Most businesses are likely to experience significant disruption to their business-as-usual
Plan operations and will face business underperformance throughout the duration of the COVID-19
crisis. To help address these challenges, MSM Group came up with a COVID-19 Response Plan.
The COVID-19 Response Plan provide guidance when dealing with COVID-19. The steps taken is to
help prevent employees’ risk of exposure to COVID-19.
COVID-19 Risk In quarter 2 2020, the COVID-19 Pandemic has been addressed in the risk assessment by
Assessment the representative. The risk that has been updated by the representative also taking into
consideration on the monitoring of the employee that been infected with COVID-19.
COVID-19 Report COVID-19 Report has been reported to the Top Management weekly and also reported to the
Board quarterly. In addition, the MSM Group takes initiative to report to FGV Group Risk.