Annual Report 2012, PDF - Axiata Group Berhad - Investor Relations

Statement on risk managementand internal controlAll OpCos have been sensitised on theimportance of BCP. Implementation of BCPis on-going at OpCos. At this moment, theprogress of BCP implementation is movingin line with the maturity cycle of the OpCos.All the best practices shall be sharedamongst OpCos for faster replication andimplementation.• Information Technology (IT) PolicyThe Corporate IT Policy continues to be afocus item. The Board recognises theimportance of a well-formulated IT direction,architecture and implementation. The ITfocus in the Company has been augmentedwith the formation of a Group IT Team inthe Technology Division to continue the ongoingimprovement programmes and toimplement a holistic IT strategy initiated in2011, starting with Celcom.A fresh IT architecture blueprint shall bedrawn, after incorporating the various bestpractices from within and outside the Groupto make sure that our IT network is ready forfuture service requirements and relatedchallenges. Another area of focus for thisyear is to put in place a standard securitypolicy, in consultation with the OpCos.3.3 Regulatory and Compliance• Group Regulatory Affairs (GRA)A four-pronged approach is adoptedtowards managing regulatory issuesconfronting our OpCos, supported by regularreview of group risk matrix, managed aspart of the Enterprise Risk Managementprocess. In this manner, risks which are bothjurisdictional and international are recognisedand managed. The four-prong approachencompasses:1. Identification of regulatory priorities foreach OpCo focusing on the top six issuesof highest strategic, financial orreputational impact;2. Crafting strong submissions on issuesand communicating the same withregulators through active stakeholderengagement;3. Developing group-wide positions on keyissues such as spectrum management,roaming regulation, access pricing andlicence renewal; and4. Ensuring a common baseline of bestpractice regulatory skills and knowledgegroup-wide, through adoption of aRegulatory Best Practices Manual,development of Asian Best Practicemodels and regular conference calls andannual meetings of regulatory employeesgroup-wide.The Group Regulatory Policy outlined in theGroup Policy document also providesguidance and establishes internal policiesand procedures that attempt to avertpotential liabilities arising from adverseregulatory decisions. Underpinning the GroupRegulatory Policy is the understanding thatthe Group shall comply with all applicablelaws and regulations, regulatory obligationsand governmental policies in the jurisdictionsin which it operates, and that regulatoryadvice is obtained in an efficient and costeffective manner as and when required.4.0 Information and CommunicationsInformation and communications support all othercontrol components by communicating controlresponsibilities to employees and by providinginformation in a form and time frame that allowsemployees to carry out their duties. The keyactivities within the Group are as follows:4.1 Corporate Communications PolicyThere is a Corporate Communications Policy inplace to ensure that communications across theGroup and to investors inside and outside ofMalaysia are effectively managed and meetsthe diverse needs of the organisation.The Board recognises the need for a robustreporting framework given the growth of theGroup’s international investments and areworking towards further strengthening thatelement of the internal control system. TheBoard also recognises the need for moredialogue with investors and analysts as well as102