Good Corporate Governance

Corporate governance execution is important to the Company, and can have a direct impact on a country’s economy. The Company is well aware of this, and continues to maintain its commitment to the effective application of corporate governance.

The Company’s commitment to corporate governance is evident from the effectiveness of its governance structure, and the governance processes already applied. The Governance Structure and Governance Processes has encouraged the achievement of a Governance Outcome, in line with the Company stakeholders’ expectations.

Basic Principles of Good Corporate Governance

In GCG implementation, Company complies with the following five principles:

Accountability

Clarity of organization functions, implementation, and responsibility so that the company management shall run effectively.

Responsibility

Suitability in company management toward laws and regulations.

Independency

Independence of company management to act without any interference from other parties which is incompliance with the applicable laws and regulations as well as healthy corporation principles.

Fairness

Justice and equalization in fulfilling stakeholders’ rights based on current agreement and regulations.

Transparency

Transparent in performing decision making process and in relevant material information related to the company.

Basis for Corporate Governance Application

The application of GCG in WIKA refers to the following provisions, namely:

1
2007 Law Number 40 concerning Limited Liability Companies
2
2003 Law Number 19 concerning State Own Enterprises
3
Republic of Indonesia Government Regulation Number 45 of 2001 concerning amendment to Government Regulation Number 12 of 1998 concerning Limited Liability Companies (Persero)
4
Minister of State-Owned Enterprises Regulation Number: PER-2/MBU/03/2023 dated March 3, 2023 about Guidelines for the Governance and Activities of Significant SOE Corporations
5
Secretary of the Ministry of State-Owned Enterprises Decree No. SK-16/S.MBU/2012 dated June 6, 2012 concerning the Indicators / Parameters for Evaluation of Good Corporate Governance in SOEs
6
Otoritas Jasa Keuangan Regulation No. 8/ POJK.04/2015 concerning Issuers or Public Company Web Sites
7
Otoritas Jasa Keuangan Regulation No. 31/ POJK.04/2015 concerning Disclosure of Material Information or Facts by Issuers or Public Companies
8
Otoritas Jasa Keuangan Regulation No. 21/ POJK.04/2015 concerning the Implementation of GCG Guidelines

In addition, to further streamline the implementation of GCG, the Company also reviews the best business practices that include:

Corporate Governance principles for SOEs developed by the Organization for Economic Co-operation and Development (OECD)