Financial and Operational Control System Implemented In The Company
Internal control system is needed to realize integrated GCG
practices. Internal control system includes financial and
operational controls so that the Company always has the
reliability of financial reports and information, compliance
with the applicable regulations, as well as efficiency and
effectiveness of operations.
The Company’s internal control system involves every
governance organ including Board of Commissioners, Audit
Committee, Board of Directors and all management team
by referring to the principles of Internal Control Framework.
The principles include control environment, risk assessment,
control activities, information and communication and
monitoring. Hence, the Company’s internal control system
is aligned with The Committee of Sponsoring Organizations
of the Treadway Commission (COSO) framework.
Evaluation of The Effectiveness of Internal Control System
The effectiveness of internal control system is regularly and
continuously evaluated by Internal Audit Unit at corporate
and operational levels in order to improve work coordination
among control functions in the Company.
Management’s Statement of Adequacy of A Risk Management System
Management considers that the Company’s internal control
system has been carried out adequately, which has been
derived from the Code of Ethics, Policies, SOPs and Work
Instructions that are synergized with the application of
Key Performance Indicator (KPI) assessment. KPI is a tool
for management so that all of the Company’s operational
activities are integrated to achieve the targets set.