Risk Management

Risk Management Organization

An organization’s risk management plays a critical role in monitoring and managing the risks and opportunities that stem from the internal and external forces that can impact a company’s profitability, success, or even survival.

Construct a proactive risk management mechanism so that relevant units can respond to risk events in a timely manner through risk management procedures, reduce or avoid the impact of risk events, and ensure sustainable operations.

The responsibilities of each role are as follows:

In order to strengthen corporate governance and risk control capabilities, and continue to optimize risk management policies and procedures, the company has formulated the “Sinyi Realty Inc. Risk Management Policy and Procedure" and approved by the Board of Directors to determine the group's material risk items from top-down.

The Material Risk will coordinate and control by Risk Owner, set up key risk indicators (KRI) to provide early warning functions, so that the Company can respond to and resolve the possible impacts of risks early. The risk execution unit conducts self-risk identification, analyzes the level of risk impact, and proposes a risk treatment improvement plan.

In response to possible risks that may arise in the course of business both internally and externally in a systematic way and in line with annual plans. We have developed the “Risk Management Operation Manual" to ensure the effective implementation of risk management operations. For material incidents, in order to immediately reduce disasters and resume normal operations, we also set up the “Sinyi Group Crisis Management Operation Process.”

pdfRisk Management Policy and Procedure
Risk Management Evaluation Matrix

We conduct risk and opportunity matrix analysis to identify the possibility and the influence degree, and each give them a score of 1 to 3. The probability multiplied by the influence degree will become the risk level, and then take corresponding actions.

pdfExplanation of Risk Evaluation Matrix
Other Related Information

In the changing environment, new types of risks are constantly emerging, including climate crises, sudden disease crises, and the like, which have a huge impact on the environment, society, and economy. At the same time, companies must continue to review and adjust response strategies to remain competitive.

For climate change risk management and response, please refer to "Climate Change Risks and Opportunities"
For the assessment of other opportunities and risks, please refer to Opportunities and Risks


Independence

The internal audit unit (Auditor Office) is subordinate to the Board of Directors, and set up an Audit Supervisor. The appointment, removal, evaluation and remuneration of the Audit Supervisor shall be approved by the Audit Committee and Remuneration Committee before a resolution of the Board of Directors. In addition, the appointment, removal, evaluation and remuneration of other auditor staffs, should be reported by the Audit Supervisor, and approved by the Chairman of the Board of Directors. Audit supervisors are required to attend all Audit Committee and Board meetings and report on the implementation of internal audit business. Communication meetings are arranged twice a year with Independent Directors.

Risk orientation

Formulate and implement the Group's annual audit plan based on the risk assessment results, and plan audit operations based on the risk assessment results and control status of the audit items.

Systematize self-assessment assignments

Design and implement a self-assessment system. The internal control self-assessment at the operation level of each unit of the Group were carried out using the online system; a five-point scale has been developed to quantify the assessment results.

pdfThe internal audit organization, operation, and process

The World Economic Forum's (WEF) annual report shows that information security risks such as data theft and cyber-attack have become one of the most important issues for global experts and policymakers.

As the real estate brokerage industry, we use a huge database and information system to serve our customers in daily operations. In the process of real estate transactions, we also handle many customer data. Therefore, information security is not only the foundation of company’s daily operation, but also important competitive niche. With the rapid development of network and communication technology, the importance of information security is increasing. We continued to improve information security management and either established or revised information security management practices by following the ISO security management structure and our security requirements.

At the same time, The COVID-19 pandemic has accelerated the urgency of digital transformation of enterprises. In the face of the cybersecurity risks associated with the digital era, digital resilience has become a key issue for the continuity of operations.

pdfInformation Security Policy and Management Programs