Good Corporate Governance (GCG) is a value system that becomes a benchmark for the Company’s ability in administering a healthy operational and business process. The organic structure of GGC, compliance to applied regulations and constitutions, and openness of information are several important aspects of CGC and reflects the organizational management of a Company.
For a public listed company. GCG has been published by OJK and used as a road map by financial services its business activity in a long term manner. By the Indonesian Stock Exchange (IDX) publishing the roadmap of good corporate governance, GCG has been on issuing corporate governance road map by Financial Services Authority (OJK), GCG has become one of measurement for a Company’s performance; in addition to financial and business operational performances.
Company has done GCG implementation in its all business processes. On implementation, Company referred to GCG general principles, named as TARIF, as: Transparency, Accountability, Responsibility, Independence and Fairness.
- TransparencyTo improve the objectivity of business activity, the Company will always initiate to provide and disclose material and relevant information and policy in a clearly written and punctual manner, easily accessible and understood by all shareholders, creditors and other stakeholders.
The Company will uphold the confidentiality of the Company secret according to the laws and regulations, the secret of function and personal rights, without undermining the principles of disclosure adopted according to GCG’s disclosure principles.
- AccountabilityIs a pre-requirement needed to achieve good and sustainable performance. Thus, the Company has to be managed well, measurable and inline with the Company’s interests by always considering the interests of the shareholders and other stakeholders. The organs of the Company and staff have to strongly hold on to the business ethics and code of conduct in conducting its responsibility and business activity.
- ResponsibilityAs a form of responsibility to the community and environment as shareholders, the Company will always implement the principles of prudence and adhere to the internal corporate regulations (by-laws) in conducting its business activities, thus it is expected that the Company gets acknowledgement as a Good Corporate Citizen.
- IndependenceThe Company will always conduct its business independently and avoid the dominancy practice from any parties, conflict of interests, dominancy by one of the Company’s organs upon other Company’s organs, any kinds of pressures or influences that may affect the decision making so it is expected that all decisions made by the Company are more independent and objective.
- FairnessThe Company will always give attention and treat the shareholder’s interests and related third party which are related to or conduct transactions with the Company in fairness and equality, and will always provide the same opportunity to the community in the staff recruitment process and in career without discerned to their physical condition, their race, religion, group or gender.
The purposes of the Company GCG implementations are:
- To encourage independency empowerment, professionalism and objectivity of the Company’s discerned in decision making and implementing it in order to be always based on transparency, accountability, responsibility, independency and equality and fairness and the principle of prudent and compliance with applicable law and regulations.
- To improve the performance and the Company’s competitiveness in the national and international infrastructure industry.
- To encourage good, conducive, and professional relationships and working environments, among the Company’s organs, staff and community.
- To avoid any practice of business ethics violations such as avoiding conflict of interests, manipulation, false statement, bribery and discrimination.
- To encourage the growth of the national economy through investment or FDI in the infrastructure industry.
Through these implementation principles, the Company conducts its business activities and makes a manual for all corporate entities in every unit activity and business lines in order that the Company always grows and has a sustainable long term pattern. The Company has GCG manual that regulates GCG dimensions and its implementation, with several discussions as follows:
- Company’s Vision and Mission
- Company’s Values
- Ethics (Code of Conduct)
- Board of Commissioners
- Audit Committee
- Nomination and Remuneration Committee
- Investment and Strategy Committee
- Board of Directors
- Internal Audit Division and External Auditor
- Corporate Secretary
- Financial System and Internal Controlling