IDX MAPA: Rp 1.075,00

GOOD CORPORATE GOVERNANCE

Risks & How We Manage

The Company systematically conducts analysis of potential losses that may occur due to a risk and finds the most appropriate method to handle those potentials. In this regard, risks are identified through risk analysis questionnaires, statistical analysis and financial reports, operational flow maps, and direct observations. The results are then categorized by type and the level of risk limits. Subsequently, the Company implements steps of control, monitoring, communication, and reporting; guided by risk management policies and procedures.

We ensure the effectiveness of risk management through the application of an appropriate system of checks and balances, so as not to affect flexibility and business operations. The identified risks are used to prevent and address possible challenges that may arise, both in the present and in the future. We also encourage and provide training to employees to recognize and anticipate external and internal risks by implementing proper mitigation measures. We believe that effective risk management implementation can enhance positive business performance, maintain operational sustainability of the company, achieve business objectives, and safeguard the interests of shareholders and other stakeholders.

Economic Risks

The Company carefully considers external economic prospects and continues to monitor them closely when planning its strategy. We also review the planning and management processes (including regular monitoring of budgets and expenditures) to respond to current economic dynamics. We continue the development of integrating offline stores online, so we can serve requests digitally/online. We are continuously developing the MAPCLUB by providing various promotions to attract customer interest.

Political & Social Risks

  • The Company establishes insurance policies and crisis management processes involving the President Director and senior management team to ensure the Company is prepared to face emergency situations and/or hazards.
  • The Company ensures protection against operational risks related to the safety and health of employees and customers.
  • The company protects its business from potential disruptions with third-party liability insurance.
  • The company ensures its business up to a certain limit against potential impacts that may arise from disruptions to its operations.

Competition Risk

The Company consistently highlights its comparative advantage as a differentiator from other retail companies through the implementation of a unique multi-tier strategy. Additionally, the company also applies a combination of pricing strategies, diverse product offerings, convenience, customer service, and meticulous marketing efforts to support the enhancement of the company’s value. We also strive to maintain customer loyalty by fostering innovation in marketing strategies and services that can deliver an exceptional shopping experience for our customers.

Regulatory Risk

The Company consistently keeps track of the latest regulatory changes and developments. Additionally, we regularly engage in discussions with relevant authorities and other retail industry players to provide input or feedback on regulatory changes in the retail industry.

New Business Risks

The Company consistently conducts accurate market analysis and comprehensive investment planning. We prioritize the principle of caution in acquiring new brands and investing in new shopping centers or in new regions as part of our investment plans.

Financial Risks

The Company implements policies, guidelines, and procedures for controlling financial performance-related risks that have been established.

Partnership Relations Risks

The Company maintains good relationships with principals and implements clear partnership strategies. The Company continues to strengthen the market and popularity of each of its brands through unique and integrated marketing strategies.

Natural Disasters & Disease Outbreak Risks

The Company has a crisis management plan to minimize the impact of risks on operations and finances. We prepare insurance protection as a mitigation measure for damage to the company’s assets or facilities. Additionally, we have trained and experienced personnel ready to respond to crisis situations in real-time.

Data Security Risk

The Company has installed IT infrastructure, including networks, servers, and comprehensive data storage infrastructure. We maintain data storage security by implementing Tier-3 certification and ISO 27001 at the data center location. Additionally, as a Disaster Recovery Center, the company also places data storage in secondary data centers. We conduct regular evaluations of IT systems to identify potential disruptions and security threats. The company will investigate any incidents related to IT security to find their root causes. The results of this analysis will be used as a basis for preventing the recurrence of similar incidents. The Company also has a privacy policy implemented in every business unit that obtains and manages customers’ personal information in accordance with government regulations on personal data protection.