Corporate Governance

The objective of the Sustainability Policy is to plan for the sustainable growth and expansion of the Group business activities for the long term as a responsible corporate citizen, bearing in mind the effects of its activities on its employees, the environment and the communities at large from where it operates.

STRATEGIES FOR SUSTAINABLE GROWTH

  The strategies for sustainable growth can be categorized under the following broad policies:

   a) Production Policy
    - to produce and supply automotive paints and related products of high quality to capture and retain customers for the long term,
    - to ensure that customers’ delivery deadlines are always met,
    - to ensure that all production machinery and equipments are well maintained to prevent unplanned production downtime,
    - to have frequent upgrading of machinery and equipments for productivity gain and product quality improvement,
    - to ensure that workers are adequately trained to operate the machinery and equipments in an efficient and productive manner.

   b) Sales And Marketing Policy
    - to develop a business plan to identify and approach potential high volume dealers/ users,
    - to develop and build good rapport with potential and existing customers through good after-sales support in the area of technical education and training on the specifications and application of the Group’s products to achieve quality finishes on the car paintworks,
    - to have an effective credit evaluation and control process to avoid incurring huge bad debts,
    - to extend sales incentives and other loyalty programs to retain the dealers,
    - to focus on expanding the export market through regular participation in relevant trade fairs and expositions,
    - to provide fast and informative feedback to any overseas enquiry on the Group’s products,
    - to have frequent visits to overseas distributors to understand their market and feedbacks of the Group’s products,
    - to have a competitive pricing strategy as compared to the competitors.

   c) Human Resources Management Policy
    - to have a HR Policy that considers the workforce as a valuable capital asset for the long term growth of the Group,
    - to have a Remuneration Policy that will attract and retain competent employees having the relevant qualifications, skills and experience to grow the business of the Group,
    - to have a Remuneration Policy that will attract and retain competent directors having diverse background, skills and experience to chart the future direction of the Group,

   d) Risk Management Policy
    - to identify all risks associated with the manufacturing operation that may cause interruption or disruption in the production and supply of finished products to the customers and implementing the necessary measures to minimize or reduce such risks;
    - to ensure that all assets are adequately insured against major disasters so that in the event such disasters occur, the Group will be in a position to rebuild quickly,
    - to ensure that they is a strong credit control process to protect the Group from excessive credit risks,
    - to adopt an appropriate gearing level to protect the Group from financial upheaval in the event of a financial crisis in the national or international arena,
    - to ensure proper disposal of toxic waste from the production process by engaging approved contractors licensed by the Dept of Environment to avoid reputational damage to the Company’s image,
    - to have the Group’s relevant trademarks registered in all the countries that the Group is exporting its products to avoid from being prevented from exporting to those countries due to trademark issues,
    - to ensure the health and safety of the workers are adequately protected to reduce the incidence of lost protection days and medical expenses.