Risk Management

Risk Management Policy

RATCH Group Public Company Limited establish an international standard risk management system which will uphold the customer satisfaction and preferable returns to shareholders and all stakeholders based on good corporate governance. Also, the Company’s Risk Management Committee specified the Risk Management Policy as follows:

1. Philosophy

“The Company is confident and aware of the importance of the effective management and control, which will enable the Company to run its business with stability, continuity and an acceptable level of risk. It is used as a management tool to enhance the Company’s opportunity for success as much as possible while minimizing the possibility of failure and loss and to reduce the uncertainty in the Company’s overall performance. All these will help the Company achieve its objectives.”

2. Policy

1. To promote the culture of risk management in order to stimulate understanding, conscience and collective responsibility concerning risk, control and the impact of risk on the Company in the process of management and operations throughout the Company.
2. To provide sufficient and accepted international standard process, framework and measures for indicating, analyzing, assessing, ranking, managing, controlling, monitoring, reporting, evaluating, and communicating the information of risks continuously, regularly and across the board in the Company.
3. To measure the risk by considering the probability and magnitude of impact, both in terms of quality such as the Company’s reputation and image, and quantity such as loss, revenue decrease and expense increase.
4. To determine the risk limit at the acceptable level and identify circumstances and risk degrees that are noted as warning signs for the operators to manage risk and control it under the risk limit.
5. To provide operational regulations in writing for the executives and operators to abide by in order to control the operational risk.

3. Implementation

The risk management and control shall be implemented according to the following processes.

1. To set up the Company’s objectives
2. To identify the risks and their causes
3. To analyze, evaluate and rank the risks
4. To determine risks criteria and control methods
5. To determine risk management
6. To follow up, prepare the report and evaluate