Risk Management

The ongoing business challenges in 2022 were marked by the disruption of the global supply chain due to geopolitical tensions between Russia and Ukraine along with the economic recovery that was not optimal due to the continuation of Covid Pandemic at the beginning of 2022 and various other factors that influence both the Company’s operational and financial performance. The Company’s businesses were also exposed to the declining tin metal products in 2022. 

Considering the identified business risks in 2022, the Company and its subsidiaries have encouraged the optimization of the risk management system in all aspects of the Company’s businesses. Facilitated by the Risk Management Division, monitoring and evaluation of risk identification as well as the implementation of mitigation measures. The Risk Management Dashboard becomes crucial for the Board of Directors in making strategic decisions. 

Reference in the Implementation of Risk Management 

  • Board of Directors Decree No. 47/Tbk/SK-1000/17-S11.2 in 2017 concerning the change of nomenclature into Risk Management Division; 
  • Company Regulation No. 011/Tbk/PER-0000/19-S11.1 Dated December 31st, 2019 Concerning the Guidelines of Risk Management of PT TIMAH Tbk; 
  • Reference and Implementation of ISO 31000:2018 Risk Management – Guidelines; 
  • Minister of State-Owned Enterprises Regulation No. PER-01/MBU/2011 concerning Good Corporate Governance in State-Owned Enterprises; 
  • Minister of State-Owned Enterprises Regulation No. PER-05/MBU/09/2022 concerning the Implementation of Risk Management in State-Owned Enterprises. 

Risk Management Roadmap and Projection 
In order to realize Enterprise Risk Management (ERM), the Company has established ERM Roadmap for the period of 2021-2015 as a reference in the implementation and assessment of the achievement of the Company’s Risk Management targets.