FGV Annual Report 2018

47 REMAINED FOCUSED ON VALUE CREATION 01 02 05 03 07 06 04 08 09 ANNUAL INTEGRATED REPORT 2018 MANAGEMENT DISCUSSION & ANALYSIS For further details on FGV-ToP System, please refer to the Social & Relationship Capital in this MD&A. With the establishment of this system, it improves our quality of audit documents management and ensures traceability and transparency of our product. In addition, this system offers a dashboard views to our certification status. We have also developed systems to enhance our operations, a few of which are the Weighbridge Management System (WBS), Integrated Logistic & Distribution System (ILDS) and Integrated Estate Management System (iEMS). WBS is an industrial weighing system used across industries which generates accurate transaction entries, reduces errors, and improves productivity and enhanced security. The system enables users to control and monitor the weighing operation to prevent fraud and minimise errors through its weighing policy configuration settings. ILDS is an application that integrates all silo applications across millers, refiners, bulkers and transporters into one platform. This improves visibility, transparency and efficiency across our palm oil supply and distribution chain. It also eliminates repetitive processes, avoids duplication of data entries, greatly reduces the need for physical documents and improves turnaround time in intra-company transactions. iEMS is a web-based plantation management computing solution comprising four prime systems such as Corporate, Estate, Platformand Litewhich integrates end-to-endplantation process and accounting transactions. The applications allows for seamless information flows in real-time from the collection platform up to Senior Management, with the ability to be accessed anywhere and anytime. It also features the ability to integrate with various other systems such as SAP software solutions. Challenges Moving Forward Low germination rate Pest and disease attack Cyber threat on company IT infrastructure High and borderless competition in fertiliser business Restriction on export of planting materials to foreign and high domestic market competition Conduct relevant studies in terms of bunch ripeness and moisture content to increase the germination rate. Perform research and develop cloning for specific traits of planting material products to overcome pest and disease issues. Ensuring business continuity plan is in place to reduce downtime due to cyber attack. Expand to new overseas market such as Southeast Asia region. Setting up seed garden in neighbouring country through proposed joint venture. RISK ENVIRONMENT AND MOVING FORWARD PLAN INTELLECTUAL CAPITAL