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KUMPULAN FIMA BERHAD
(11817-V) |
Annual Report
2016
SUSTAINABILITY AND CORPORATE
RESPONSIBILITY
We recognise that we have a responsibility to all our
stakeholders – our employees, our investors, the
community and the environment in which we all work
and live, and so we endeavour to integrate sustainable
value into everything we do. Hence, our aim is to ensure
that sustainable and profitable growth continues, while
managing our businesses in a way that is supportive
to communities, respectful to the environment and
ensures a safe and conducive workplace.
Key highlights of the Group’s sustainability measures
and corporate responsibility initiatives undertaken
during the year under review are set out in the
Sustainability Report on pages 37 to 53 of the Annual
Report. This year, you will find a more detailed report
of our progress and priorities in FYE2016 as we strive
to fulfil our responsibilities to all our stakeholders. We
share with you our achievements thus far, and we
welcome your feedback.
GOVERNANCE
In October 2015, the Board, together with the Board of
its listed subsidiary, Fima Corporation Berhad and the
Group’s management team, held a Joint Board Retreat
to take stock of our current position and discuss the
commercial strategy and strategic directions for the
Group. We made important strides at the Retreat
towards identifying priorities and developing actionable
goals for each of the Group’s key businesses; and
being able to interact with the team face-to-face over
the course of a weekend was essential to making such
progress. On a personal level, the Retreat sessions
exceeded my expectations in terms of the level of
engagement from the participants and the amount
of informative discussions and ideas that emerged. I
would like to thank everyone who attended the Retreat
for their participation and insights, as well as their
taking the time out of their schedules to join us.
Statements on corporate governance, and risk
management and internal control are covered in
separate sections in the Annual Report.
PROSPECTS AND CHALLENGES
The economic environment presented significant
challenges for the Group during FYE2016 and this is
likely to persist in this current year. BNM has forecasted
that the Malaysian economy is expected to grow at a
slower pace of 4% to 4.5% in 2016 (2015:5%) due
to slower growth in all sectors. At the industry level,
factors such as extreme weather conditions, labour
shortages, soft consumer sentiments and heightened
competition will continue to pose challenges to the
Group’s businesses. Our outlook for the Group
therefore remains positive, but guarded, given these
challenges.
Coincidently, 2016 marks our 20
th
anniversary of
being publicly listed on Bursa Malaysia. During these
20 years, we have been through down cycles and
have emerged as a stronger, agile company. These
times call for agile leadership and organization but
they also require stability and strength. The priorities
for the Group in this current year are to fully realize
the potential of acquisitions made in recent years and
deepen our involvement in focus areas while at the
same time evaluate further growth opportunities. It is
also important, now more than ever, for us to intensify
our efforts to enhance efficiency and exercise firm
control over costs and the use of capital in order to
remain competitive and continue to deliver long-term
returns to our shareholders.
APPRECIATION AND ACKNOWLEDGEMENT
I wish to express my deepest gratitude to our Board
members for their dedication and guidance in ensuring
the Group’s success. I also want to thank the Group’s
senior management, our employees, in all parts of
the Group, for their dedication: those who serve our
customers and who work tirelessly to improve our
services to them, those in the estates working to bring in
the harvest, those on the shop floors of our production
and manufacturing plants, the teams at our bulking
terminals, all the administrative, finance, technical,
planning and support teams that work in offices and
job sites. These are the people who draw our assets
together into a cohesive whole and we could achieve
nothing without their enthusiasm for the Group.
Last but not least, on behalf of the Board, I would like
to convey our deepest appreciation to our stakeholders
for continuing to partner with us and you, our valued
shareholders for your continuous support and
confidence.
TAN SRI DATO’ IR. MUHAMMAD RADZI
BIN HAJI MANSOR
Chairman