In conducting its business , the Company has always sought to apply the principles of good corporate governance. Characterized by the application of GCGKIEC referring to Decree No. SOE . 117 of 2002 in which the Company organ in improving business success and accountability in order to always pay attention to stakeholder interests based on legislation and ethical values. GCGKIEC principles are rules, norms, or corporate guidelines required in the management of the Company’s sound system. GCGKIEC principle is as follows :
In order to achieve transparency , the Company is obligated to provide enough information , accurate , and timely to the Stakeholders . One positive impact of the transparency principle is that parties with an interest in the Company to determine the potential risks involved in the transaction with the Company . Implementation of the key points in the transparency of information , among others :
Formulation of Goals, Objective Business, and Corporate Strategy
Periodic Financial Reports
Other reports need to be published
Company follows the principle of accountability to be fully aware of the rights, obligations, authority , and responsibilities of organs based on the Company’s internal check and balance system that includes sound auditing practices. This includes the limitation of power between the Board of Directors is responsible for the day-to- day operational activities and the Commissioner representing the shareholders. The primary issue in the implementation of the principle of accountability in the company include :
Determination details the duties, responsibilities, and authorities of each organ in tune with the company’s vision, mission, values, and strategy
Ensure there is an effective system of internal control in the management of the Company
Performance measurement for all organs consistent with the Company’s application of reward and punishment system
The duties and responsibilities of each organ Companies adhering to the values of the Company (the Company ethics and code of conduct of the top management) that have been agreed upon.
Company apply the responsibility principle of the Company’s management to adjust legislation in force and the principles of healthy corporate. The primary issue in the implementation of the principle of responsibility include :
Companies must pay attention and be sensitive to the situation and the growing conditions in both the surrounding community and the public at large and also pay attention to the fulfillment of the social obligation of the Company as part of the community
Companies must comply with the laws and regulations that apply, including those relating to the environment, consumer protection, employment, taxation, prohibition of monopolistic practices and unfair business competition, healthy and safety work, and others.
The company follows the principle of independence by managing a professional manner without any conflict of interest and influence / pressure from any party. The primary issue in the implementation of the principle of independence are :
Each organ Companies should avoid domination by any party, is not affected by particular interests, free from conflicts of interest of any influence or pressure so that decision making can be done objectively.
Each organ of the Company shall exercise the functions and duties in accordance with statutes and regulations in force, and not dominate the other or passing the buck between each other.
Company applies the principles of fairness and equality by adopting justice in fulfillment of the rights of stakeholders. Implementation of the principle of fairness key points include:
Clarity Shareholders rights, legal system and enforcement of regulations.
Regulations regarding commercial engagement ( contracts ) or for consumer protection should be provided and can be enforced effectively so that every engagement relationship ( contractual relationship) can be effectively implemented.
Law enforcement issues related to the prevention and eradication of corruption and bribery must be implemented in order to ensure the company is operating in a state free of corruption and irregularities.
Equal opportunity in recruitment , career and perform their duties in a professional manner regardless of race , religion , race, class , gender , and physical condition.