It seems your place of work is Malaysia. I am providing an opinion based on my experience with Indian operations and applicable laws. However, the principles will mostly be the same.
Disciplinary Action Procedures
Disciplinary action can be taken by the authorities as identified by Standing Orders or the provisions shared with employees in general.
To avoid issues, it is best to request the Appointing Authority, who signed the appointment letter of the delinquent employee, to be involved. If a show cause notice is to be issued, it should be signed by the same authority who signed the appointment letter for the delinquent employee.
Authority for Disciplinary Action
Another practice is that disciplinary action should be initiated by a person who is working at a higher level than the delinquent employee. The person signing the show cause notice should ensure that the matter merits disciplinary action.
Hope this clarifies the position.