KMG EP website

RISKS OF CORPORATE GOVERNANCE

Reducing the organizational capacity

One of the major factors affecting the efficient operation of the Company is the reduction of its organizational capacity, namely, lack of skills and qualifications of personnel to address both current and new tasks. Highly qualified personnel are the basis of competitive advantage and the basis for achieving the strategic goals of the Company. Each year, the Company faces the challenge of attracting staff with appropriate qualifications. This is primarily due to the impossibility of recruiting staff due to shortage of the necessary category of professionals in the labour market.

To reduce this risk, the Company has developed a series of measures aimed at increasing loyalty, motivation and the professional level of staff. In addition, considerable attention is paid to improving the leadership skills of management and development of a personnel reserve.

Fraud and Corruption

Resource allocation that is not in the best interest of the Company, damage to the Company for personal gain, or any other evidence of corruption is totally unacceptable to the Company regardless of the size of the financial damage.

The company is taking all possible steps to prevent illegal activities that can cause reputational damage to the Company. The Company is subject to the Law on Combating Corruption which came into force in July 2011 as well as the UK Bribery Act 2010 and builds its own internal policies and procedures in strict accordance with the above laws.