Similar to any other reputable company, PT Kimia Farma Trading & DIstribution (KFTD), as part of Kimia Farma Group, upholds good corporate governance. This principle is key in realizing the company’s value. More importantly, it is the company’s main principle in the corruption prevention effort.
What is Good Corporate Governance?
Good corporate governance is a set of principles that helps align the interests of all stakeholders within the company, including directors, management, employees, and shareholders. Implementing good corporate governance enables the company to build trust, not only with investors but also with the community and authorities.
This principle creates transparency within the organizational structure. It informs individuals inside the organization about the behaviors expected of them. Good corporate governance also often highlights anti-corruption values.
Anti-Corruption Principles
Several key points in KFTD’s good corporate governance align with the company’s effort to prevent corruption. First, it employs a standardized accounting system to maintain the integrity of its finances. The accounting system is prudent and consistent in realizing that objective.
The pharmacy distribution company is also committed to continuous monitoring and evaluation. Its internal control system and external auditing work in tandem to ensure a balanced monitoring system. A sound monitoring system helps the company comprehensively mitigate risks and solve salient issues.
The company also emphasizes the need to recognize conflict of interest in its corruption prevention effort. Conflict of interest is a situation where personal interests may hinder the organization member’s capacity to perform their job objectively. It is one of the main corruption risks.
Employees who recognize potential conflicts of interest early should report to the company and are encouraged to avoid assignments related to the risk cases.
The company’s employees are also given several channels to report corruption risks: gratuities reporting and a whistle-blowing system (WBS). These channels allow the employees to come forward without fear of repercussions whenever they have information corruption risks inside the organization.
KFTD is committed to continuing to educate employees about the importance of upholding good corporate governance, especially in relation to its anti-corruption values.
