stateMent on internal Control

Through these mechanisms, the

IAd adopts a risk-based approach in

Board is informed of all major control

formulating the annual audit plan, which

issues pertaining to internal controls,

aligns its activities to the key risks

regulatory compliance and risk taking.

identified across the Group. This plan is

This ensures that business objectives

reviewed and approved by the BAC.

stay on course.

The reviews performed by IAd are

aimed at assisting the BAC and Board

·

Major Control Issues

in promoting sound risk management

Quarterly reports on financial and

and good corporate governance by

operational control issues form part of

assessing the design and operating

the initiative to inculcate self-awareness

effectiveness of controls that govern

of the financial and operational internal

key business processes and risks

controls requirements of the Group.

identified in the overall risk framework

of the Group.

·

Headline Performance KPIs

·

Financial and Operational Review

Headline Performance KPIs have been

set and agreed upon by the Board of

Quarterly financial statements and the

directors and management of the

Group's performance are reviewed by

Group as part of the broader KPI

the BAC, who subsequently recommends

framework that the Group has in place,

them to the Board for their consideration

as  prescribed  under  the  GLCT

and approval. Monthly management

programme. The headline KPIs represent

accounts containing key financial results,

the main corporate targets or aspirations

operational performance indicators

for the year and are announced

and budget comparisons are also issued

publicly as a transparent performance

to the SLT to enable them to have

management practice.

regular and updated information of the

Group's performance.

·

Control Health Check KPI

The Group plans to introduce a Control

5.2 Performance Reporting

·

SLT Meetings

Health Check KPI or scorecard, starting

with one opCo and eventually rolling

SLT Meetings, which comprise of the

out to the other opCos.

President & GCeo and all divisional

heads, are held regularly to deliberate

on business performance, financial and

operating risks and issues which include

reviewing, resolving and approving all

key business strategic measures and

policies. Progress, exceptions and

variations are also fully discussed and

appropriate action taken. In 2010, there

were 10 SLT meetings held at Group

Level. Similar SLT meetings are held

regularly at opCo level.

Significant matters identified during

these meetings are highlighted on a

timely basis to the Board, who are

responsible for setting the business

direction and for overseeing the conduct

of the Group's operations.

pg 90

annual report 2010

Axiata Group Berhad

(242188-H) ·