PT Kimia Farma Trading & Distribution (KFTD) has consistently implemented the Good Corporate Governance (GCG) principles as its commitment to enhancing Corporate Value and maintaining long-term business growth. In managing its business, KFTD, as part of Kimia Farma Group, aims to be transparent and accountable to mitigate bribery and corruption through risk management.
About Risk Management
As an integrated part of Good Corporate Governance (GCG) principles, risk management is proposed to build and maintain the risk management framework by managing the potential legal issues in KFTD, like bribery and corruption, and applying proactive actions to carefully mitigate the risks.
Risk management applies to all levels in the company, including all functions and units responsible for each risk based on each need and goal. This policy also relates to managing strategic projects to share references and support for decision-making in reaching optimum achievement.ย
Risk Management Process in KFTD
The process of risk management in KFTD involving all stakeholders encourages the potential benefits and diminishes the risks, like bribery and corruption. It is performed in these stages:
- identifying risk context by considering internal and external contexts. It accommodates the idea, perspective, and perception of stakeholders in arranging the risk context and generates objectives, scope and parameters of risk assessment;
- applying risk assessment, including risk identification to identify the risks, source and potential impact, risk analysis through qualitative and quantitative methods, risk evaluation for the decision-making process, and risk management to handle the risks;
- well-planned and sustainable monitoring and review related to the internal auditing process for long-term enhancement, and
- communication and consultation to accommodate the ideas, perspectives, and perceptions of stakeholders.
Thus, through risk management, KFTD has been persistent in mitigating bribery and corruption by adhering to the Good Corporate Governance (GCG) principles, so its aim to be a transparent and accountable company in pharmaceutical and medical supply distribution can be fulfilled.