The Committee is authorized as follows:

  1. To consider the risk management policy, risk assessment, risk management plan and risk management manual to be proposed to the Board of Directors' approval prior to proceeding
  2. To support the management of top executives by setting up the risk management structure to cover entire organization; implementing the risk strategy by initiating practice and investment in appropriate system
  3. To propose the reports on sufficiency of system and risk controls to the Board of Directors of MCOT Plc.
  4. To centralize the monitoring of critical risk reported risk management coordinator
  5. To review the risk management reports and to supervise the effectiveness of management operation to manage unacceptable risk
  6. To communicate with the Audit Committee for critical risks
  7. To negotiate for evaluation on appropriate operating results of MCOT Plc.
  8. To coordinate with the Ministry of Finance and consultant companies
  9. To provide the agreement on evaluation of operating results of MCOT Plc. under the approval of the Board of Directors and the Ministry of Finance and the duration determined by the Ministry of Finance

MCOT Plc. has recognized the dominant role of risk management as an important management mechanism enabling the organization to attain its established objectives and goals, to reduce potential loss, and to boost the competitiveness. Risk management is also an essential component of good governance. By the above reasons, MCOT Plc. established a systematic risk management, which has been improved continuously. The Risk Management Committee was officially established to devise the risk management policy, to monitor the entire risk management process in the organization, and to appoint the Risk Coordinators as representatives in each department, who are in charge of monitoring, assessing and preparing risk reports at the department level.

In the meantime, risk management is a compulsory issue inserted in the job description of every department to ensure that all officers recognize and value as such. It shall be deemed a duty and responsibility of every department to manage and control risks at the acceptable level. The Risk Management Handbook and risk management plans were prepared as the operating guidelines. Potential risks have been regularly monitored and assessed to correspond to internal and external changing circumstances.

The risk management policy is explicitly placed by MCOT Plc. according to the following statement, MCOT Plc. shall apply the risk management to be a tool of managing its broadcasting business to enhance the highest efficiency of international broadcasting standards. In addition, this risk management system shall be further developed; meanwhile all employees are educated to have good understanding about this matter and to be involved in the risk management process so that the organizational risks are acceptable. Risk management shall also prevent the loss of potential opportunities, which makes the organization's operations attain its objectives that finally trigger the good governance, and add the sustainable value for the organization.

In 2008, MCOT Plc. has followed the risk management process by having top-down brainstorms among the Risk Management Committee and senior executives of MCOT Plc., and bottom-up brainstorms among operating officers in order to identify potential risk subject to possible circumstances in 2008 deriving from internal and external factors, and to assess the extent of risks. The Organizational Risk Management Plan for Year 2008 was also prepared to integrate with vision, mission, and strategy of MCOT Plc., and to respond to 6 high-risk transactions. The details of each risk, management of such and types of risk were summarized below: