Good Corporate Governance

 

Internal Control System

 

The Company has imposed a Good Corporate Governance Manual which has been legalized by the Directors on October 28, 2011 referring to Indonesian Good Corporate Governance general manual issued by the Indonesian National Committee on Governance Policy in 2006. In implementing a good and reliable internal control, all recorded transactions have to get approval from authorized executive per applied an authorization and authority delegation based on Authorization matrix and is recorded in the Company Financial Report based on applied Standard Financial Accounting Guidance (PSAK).

The Company imposes Internal Controlling System through implementation of policy, procedure and authority/ authorization delegation continuously and sustainable referring to COSO Internal Control Integrated Framework. Thus it is hoped that by implementation of this internal control, the Company operation will be more effective and efficient including securing Company assets, financial reports and a more trusted management and compliance with laws and regulations.

One of the tasks of the internal audit division is to conduct evaluation consistently in the effectivity of internal control in order to guarantee a trusted internal controlling system and develop/renew internal controlling system per Company development.

Conditions regulated by Company Internal Controlling System as follow:

 
  • All recorded financial transaction and presented in the Company financial report has to comply with applied Statements of Financial Accounting Standards (PSAK).
  • The Company will always announce all material transactions according to the law and regulations, especially Financial Service Authority (OJK).
  • In order to implement excellent and reliable internal control, each recorded transactions has to always be approved by authorized executive per applied authority.
With excellent internal control it is hoped that the Company operational becomes more efficient including in it are safeguarding asset, reliability of financial and management reports and a much better compliance to law and regulations.