Succession Planning Policy
This policy is intended to address GD Express Carrier Bhd. (“GDEX” or
“the Company”) and all subsidiary companies within the GDEX Group
(hereinafter referred to as “the Group”).
Succession planning is a process designed to ensure that the Group
identifies and develops a talent pool of employees through mentoring,
training and job rotation to replace experienced and key appointment
holders within the Group when these key appointment holders leave their
- To ensure the Group is prepared with a plan to support operation and
service continuity when the Group Chief Executive Officer (“Group
CEO”), the Executive Director(s), senior management or key
appointment holders leave their positions;
- To prepare a supply of suitably qualified and motivated employees for
higher roles and responsibilities;
- To align between the Group’s vision and human resources function
that demonstrates an understanding of the requirements to have
appropriate employees to achieve strategic plans;
- To develop career paths for employees which will facilitate the
Group’s ability to recruit and retain top-performing or high talent
- To create an external reputation as an employer which invests in its
people, provides opportunities and support for advancement;
- To deliver a message to the Group’s employees that they are
- To develop reliable assessment procedures and ensure that these
procedures are applied systematically across the Group.
Roles and Responsibilities
- Both the Board of Directors (“Board”) and the Group CEO have
pivotal roles to play in succession planning;
- The Board is responsible for succession planning for the Group CEO
and Executive Director(s) position. The Board should hire or internally
promote the new Group CEO and Executive Director(s), when the
existing Executive Director(s) and/or Group CEO leaves, and ensure
the new Chairman, Group CEO and/or Executive Director(s)
has/have the required skills to implement the Group’s mission and
- The Board should have prepared themselves with an interim solution
when Group CEO and Executive Director(s) leave; and
- The Group CEO is responsible for ensuring a succession plan is in
place for other key positions in the Group with the assistance from the
senior management team and implicated employees.
Development and Succession Planning Process
A primary responsibility of the Board is planning for the Group CEO’s and
Executive Director(s)’ succession and overseeing the identification and
development of executive talent.
- Succession planning for the Group CEO and Executive Director(s) is
under the purview of the Combined Nomination and Remuneration
Committee and for Management under the Group CEO and Human
- The Board, with the assistance of the Combined Nomination and
Remuneration Committee and working with the Group CEO and
Human Resources department, oversees executive officer
development and corporate succession plans for the Group CEO,
Executive Director(s) and other executive officers to provide for
continuity in senior management.
- The successors for the Group CEO and Executive Director(s) shall be
identified by the Combined Nomination and Remuneration Committee from
among the Senior Management or through external source as the Board may
- The Board works with the Group CEO to plan for the Group CEO’s and
Executive Director(s)’ succession. The succession plan covers
identification of internal candidates, development plans for internal
candidates, and appropriate identification of external candidates.
- The Board annually reviews the Group CEO’s and Executive Director(s)’
succession plan. The criteria used to assess potential Group CEO and
Executive Director(s) candidates are formulated based on the Company’s
business strategies, and include strategic vision, leadership, and operational
execution. The Combined Nomination and Remuneration Committee will
review the proposed appointments giving due consideration for the expertise
and other criteria required for the successor and submit its recommendations
to the Board.
- The Board maintains an emergency succession contingency plan
should an unforeseen event such as death or disability occurs that
prevents the Group CEO and Executive Director(s) from continuing to
serve. The plan identifies the individuals who would act in an
emergency and their responsibilities. The contingency plan is reviewed
by the Board annually and revised as appropriate.
- The Board may review development and succession planning more
frequently as it deems necessary.
Key Success Factors
- The Board, the Group CEO, Executive Director(s) and senior
management support for the succession planning process. This will
give all employees an understanding and emphasis on the importance
of succession planning to the Company;
- Succession is linked to the Company’s strategic planning and future
- Adequate time should be provided to the selected employees for
development and mentoring; and
- Review and update the succession plan regularly to ensure the
Company has reassessed the hiring needs and measured the
development progress of the selected candidates.
This Policy shall be reviewed annually by the Board.
This Policy is adopted by the Board on 3 October 2018.