GCG | GOOD CORPORATE GOVERNANCE
GOOD CORPORATE GOVERNANCE PRINCIPLES
Good Corporate Governance (GCG) is an exemplary practice for managing a growing corporation in the international world. GCG has become one of the important indicators and guidance for investors in assessing the performance of companies they wish to invest in. Companies with a good GCG implementation, trust and security of investment have become an essential capital base in the era of the unlimited global economy. Therefore, the implementation of Good Corporate Governance principles, as reflected in a reliable corporate governance mechanism, is expected create good corporate performance
ICON has established and implemented GCG as part of the Company’s strategy to create excellence for ICON in winning competition and providing added value to our stakeholders.
The implementation of the GCG is based on the Laws of the Republic of Indonesia, the Financial Services Authority, and other related provisions, which include:
- Law of the Republic of Indonesia No. 40 of 2007 regarding the Limited Liability Companies;
- Financial Services Authority Regulation No. 10/POJK.04/2017 concerning Planning and Organizing of General Meeting of Shareholders at Public Companies;
- Financial Services Authority Regulation No. 33/POJK.04/2014 concerning Board of Commissioners and Directors of Listed or Public Companies;
- Financial Services Authority Regulation No. 55/POJK.04/2015 concerning the Establishment and Work Implementation Guidelines for Audit Committee;
- Financial Services Authority Regulation No. 34/POJK.04/2014 concerning the Nomination and Remuneration Committee of Listed or Public Companies;
- Financial Services Authority Regulation No. 35/ POJK.04/2014 concerning Corporate Secretary of Listed or Public Companies;
- Financial Services Authority Regulation No. 56/ POJK.04/2015 concerning the Establishment and Guidelines for the Preparation of the Internal Audit Unit Charter;
- Financial Services Authority Circular Letter No. 32/ SEOJK.04/2015 on the Code of Good Corporate Governance of Public Companies;
- Financial Services Authority Regulation No. 29/POJK.04/2016 concerning Annual Reports of Listed or Public Companies and Financial Services Authority Circular Letter No. 30/ SEOJK.04/2016 concerning the Form and Content of Annual Reports of Listed or Public Companies;
- The Company’s Articles of Association;
- Guidelines and policies related to GCG; and
- Other Company’s guidelines and policies
As a public company, ICON recognizes the importance of implementing Good Corporate Governance (GCG) within the Company and its subsidiaries. The provisions on the implementation of GCG in addition to the GCG Indonesia General Guidelines are also contained in the Limited Liability Company Law. 40 year 2007. For ICON, GCG is not only a signpost that must be obeyed, but also part of corporate culture and one of the supporters for sustainable business progress.
GCG Basic Principles and their Implementation
In applying the GCG principles, the Company refers to five basic principles: transparency, accountability, responsibility, independence, and fairness, as released in the General Guidelines for Good Corporate Governance issued by the National Committee on Governance Policy (KNKG).
The implementation of the five principles of GCG are as follows:
To maintain objectivity in running business, ICON provides relevant material of information that is easily accessed and understood by all stakeholders. ICON actively takes initiative to disclose information that is not only required by the regulations, but also that of concern to the shareholders and other stakeholders to make decisions.
ICON must hold accountability on its operation by fair and transparent manner, as well as the measurable management of the Company in accordance with the Company’s interest. The Company must also take into account the interest of shareholders and other stakeholders
This reflects the management’s conformity to and compliance with the applicable laws and regulations, as well as healthy corporation principles.
The Company is managed professionally without conflict of interests and pressures from any party that conflicts with the applicable laws and healthy corporation principles.
It refers to fairness and equality in fulfilling the rights of shareholders and stakeholders which stem from the existing agreement, regulation and policy. Such principle primarily functions to ensure the protection of rights of all shareholders, especially the minority ones, as well as the obligation of the Company to other parties
GCG Implementation in the future
Overall, ICON has implemented GCG practices by adhering to the prevailing quality standards on GCG regulation and implementation. Continuous improvement on GCG and corporate values will be applied within the Company’s GCG structure and mechanism. The Company realizes that with proper GCG implementation, it can continue to develop its business in order to attain its goals