Internal control environment at Kuwait Investment Company (KIC) consists of several tools to
deal with the main risks the Company is exposed thereto. In this regard, KIC has established
various committees to supervise its operations, roles and responsibilities, in addition to
establishing an approved organizational structure and a departments' structure that outlines
their powers and segregates their functions, roles and responsibilities, subject to review
from time to time. KIC's management ensures that the powers assigned to the employees conform
to their responsibilities, along with an acceptable level of delegation and separation of
duties. Employees' powers and responsibilities are subject to periodic review in accordance
with business requirements and any changes that may occur in the organizational structure.
Additionally, KIC includes a Risk Department, under the Risk Committee, that cooperates with
an external consultation firm to develop a management system and certain tools to support the
operation of the Department.
Control activities of the Company are mainly based on internal discretionary control and
auditing tools, in addition to compliance with the local legislations. This in addition to
monthly comparisonsbeing prepared between actual information and budget information and
submitted to the Senior Management for follow-up purposes.
Further, KIC utilizes information technology whenever possible to introduce and process data
in different departments, as well as to reduce potential errors. The majority of the core
business processes; such as investments, general ledgers, clients, accounts and management
information system, are being implemented through automatic applications.