Governance
Pan Ocean systematically analyzes financial and non-financial risks to anticipate rapidly changing market conditions and minimize negative impacts. The company’s Risk Management Committee identifies key risks and establishes and oversees response measures. Risk management is categorized into areas such as counterparty risk, financial risk, legal risk, and information security risk, with regular inspections conducted for each area. In addition, for major risks that exceed a certain threshold of impact, separate advanced response processes are developed and operated.
Governance
Risk Management Committee
The Risk Management Committee is composed of a chairperson (Chief Risk Officer, CRO), committee members representing each department, and a secretary. Depending on the agenda, division heads, department directors, or team leaders may also participate in the discussions.
The Risk Management Committee holds regular quarterly meetings and convenes additional sessions as necessary to proactively identify a wide range of potential risks that the company may encounter and to develop effective countermeasures. The outcomes of the committee’s risk management activities are reported to the Board of Directors on a semi-annual basis. In addition to company-wide risk management, Pan Ocean operates a detailed and specialized risk management system at the organizational level. Through regular risk review meetings, risks are continuously identified and assessed by each unit. If any significant risk is detected, it is immediately discussed by the Risk Management Committee for prompt response.
Audit Committee
The Audit Committee independently monitors the effectiveness of risk management activities to enhance their practical impact. It is also responsible for regularly reviewing whether the company’s risk management and compliance processes are aligned with its overall business strategy and are operating effectively.
