PT Mahkota Group, Tbk
Palm Oil Mill in Medan, Indonesia

By going public, the Company is committed to continuously improve and maintain business continuity based on the principles of good corporate governance. Utilizing Management’s expertise and experience to improve the Company’s operations in the future, by clearly preparing the responsibilities of each of the Company’s operating units to improve the overall efficiency of the Company and the Company’s ability to quickly respond to the changing market conditions.

For the Company, running Good Corporate Governance (GCG) is not only limited to complying with the provisions of laws and regulations that apply in the State of the Republic of Indonesia. The implementation of GCG is the Company’s commitment to the vision and mission which acts as a foundation in building and creating a robust and sustainable system and corporate structure.

GCG also regulates relationships between various interested parties (stakeholders), especially between shareholders, the Board of Commissioners, and the Board of Directors to achieve Company goals. GCG also assures to the public that the Company has implemented sound business behaviors, not only profitable for business but also benefits the community and the environment.

After becoming a public Company, PT Mahkota Group Tbk will make GCG an important element for the Company in maintaining sustainable growth and also becoming a National palm oil factory Company. The Company is committed to be involved in driving Indonesia’s growth by contributing significantly to the Indonesian economy.

In regards to the implementation of the GCG Principles in the business activities of the Company, by the Securities Exchange Listing Regulations and OJK regulations, the Company has owned equipment such as Independent Commissioners, Independent Directors, Corporate Secretaries, and Audit Committees. The Company also has an Internal Audit Unit which functions to supervise the implementation of the policies set by the Company’s management and has established a Nomination and Remuneration Committee whose duty is to review and recommend the composition of the Company’s Board of Commissioners and Directors as well as competitive remuneration systems.

The increasingly fierce business competition requires the Company to always be swift in responding to challenges and winning the market competition. Therefore, PT Mahkota Group, Tbk seeks to create quality products that can compete in the market through continuous creativity and innovation. The Company’s business growth strategy is to utilize the competitive advantages it has, with the following main strategies:

• 1. Development of oil processing business palm oil
  

  The Company is carrying out the construction of Refinery and Kernel Crushing Plant that are used to process palm oil into cooking oil and derivative products.

• 2. Collaborative strategy with business partners
  

  The Company is very open to working with other parties. One of the examples is in utilizing the remaining waste from palm oil production and transforming it into renewable energy.

• 3. Opportunities for acquisition
  

  The Company will regularly review opportunities to acquire new land reserves and develop plantation businesses in areas that have soil characteristics that are suitable for planting, especially plantations close to the processing factories of subsidiaries and associated entities. The Company will continue to work to expand the land to achieve greater economic scale.

• 4. Increase efficiency
  

  The company continues to strive to maintain the efficiency of costs and productivity by implementing effective of costs and productivity by implementing effective and efficient operational techniques. Efforts are taken by routinely updating our Standard Operating Procedure (SOP)..

• 5. Improve the quality of Human Resources
  

  Human Resources are the Company’s main assets and play a very important role in determining the success of the Company’s business activities. To achieve this mission, the Company is aware of the unconditional need for efforts that can support the development and improvement of the quality of human resources by routinely participating in various training and socialization activities. This way, optimal human resource utilization will be achieved.