Risk management and Cyber Security

Risk Management System and Structure

• The risk management policy will be adopted on March 15, 2022 as the highest guideline of risk management of the Company. The policy follows international standards and takes learning from benchmark companies. This policy is a realization of regulatory compliance to ensure Compal's sustainable operations.
• Compal adopts a management system for finances, business and accounting pursuant to the FSC's Regulations Governing the Establishment of Internal Control Systems by Public Companies; and evaluates and monitors risk in operating activities. Managerial personnel ensure that any such risk is within an acceptable range by drawing up a risk management plan and response guidelines.
• The Company adheres to regional government policies and regulations of its critical production base.

• The internal control system is based on the structure of the organization, authority and responsibilities, as well procedure control points. It is implemented through internal self-assessment and performance audits.
• Internal self-assessments throughout all levels of operations and across 395 units are carried out (including departments and independent units). This year a total of 282 assessments were conducted according to procedure (including directors, vice-directors, general managers, independent directors, and other relevant managerial personnel).