Innovation and Value Creation
Key Performance in 2024
Submitted to the contest innovations
Innovations in technology and product development
Innovative products, services and process improvement that create economic value
Easy to pay, easy to sell project
Key Progress in 2024
Online to Offline (O2O) business platform development and expansion with digital technology project
Public, private, and educational sector cooperation in society and environment development and innovation projects
Energy-saving Open Showcase Innovation Project
Supporting the SDGs
SDG 1 End poverty in all its forms everywhe
1.2 Eradicate extreme poverty for all people everywhere
SDG 3 Ensure healthy lives and promote well-being for all at all ages
3.3 Achieve universal health coverage, including financial risk protection, access to quality essential health care services, and access to safe, effective, quality, and affordable essential medicines and vaccines for all
SDG 8 Promote sustained, inclusive, and sustainable economic growth, full and productive employment, and decent work for all
8.2 Achieve higher levels of economic productivity through diversification, technologicalupgrading, and innovation, including through a focus on high-value-added and labour-intensive sectors
8.3 Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity, and innovation, and encourage the formalization and growth of micro-, small- and medium-sized enterprises, including through access to financial services
8.5 Achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value
Performance Against Goal
Results of the “Double Materiality Matrix”
Sustainable Dimension
Impact level for application in business operations
Progress against Short-term and Long-Term Goals
Income from products and services innovation and new businesses including process innovation
Performance Summary 2024
Award-winning entries
Innovation value
Research and development
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Cumulative number of innovators | |||
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Cumulative number of patents | |||
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Cumulative number of petty patents |
Research and development personnel
Budget for research and development
Risks and Opportunities
Rapidly changing and growing innovations and technologies have resulted in consumers increasingly focusing on accessing faster and more convenient products and services. Online channels have become the primary choice for purchasing products and services. Therefore, the development of modern innovations and technologies has become crucial for increasing competitiveness and business sustainability in the retail industry. Moreover, the changes also affect traditional business models, causing “digital disruption,” which may lead to a reduction in staff or the closure of some types of businesses. As a business in the retail industry, the company needs to continuously upgrade the development of innovations and technologies to meet the needs and satisfaction of today’s consumers, while building competitiveness in the online marketplace.
In addition, innovation is a key opportunity to differentiate and meet the rapidly changing needs of consumers. The company needs to invest in continuous innovation development to create value-added products and services that meet consumer needs and create sustainability for the business, alongside creating social innovations such as developing products that promote the health and quality of life of consumers and increase access to appropriate living standards such as food, clothing, housing, medicines, and public services, etc. The development and promotion of innovation therefore covers both products and production processes to create sustainable economic value and meet the needs of both consumers and organizations.
Management Approach
The company is committed to driving business with innovation to respond to rapid market and technological changes. It prioritizes the development of new products and services that meet consumer needs and the improvement of work processes to be agile and efficient. This is to prepare for changes in technology and consumer purchasing behavior that is increasingly shifting to online channels. The company also continuously supports research and development of technology in various dimensions to drive the organization towards future success, grow sustainably in the long term, and adapt to the ever-changing business environment.
Innovation Research and Development
The Company endorses research development and food innovations which cultivates customer well-being, adds value to products for market competitiveness, and organizational growth while benefitting society and the environment. The Company currently operates 2 technology and innovation centers.
Food Innovation Research and Development Center to CP FoodLab Co., Ltd.
CP Food Lab Company Limited conducts food research and development using scientific techniques, creating new innovations in food technology. The goal is to meet the diverse needs of consumers, such as those related to age, occupation, specific dietary requirements for patients, and those seeking specialized nutrition, including the promotion of better health. This is achieved through basic and applied research by the New Product Development (NPD) team to address various challenges. The research covers agriculture and food to help develop the food industry in both the public and private sectors. Currently, CP Food Lab serves as a center of knowledge and information on research and development, providing consulting services, product analysis and testing, and engineering design for ready-to-eat meals of CP ALL, CPRAM, Charoen Pokphand Group, and other companies both domestically and internationally. It also serves as a coordinating center for research and development cooperation with various agencies in the public and private sectors to facilitate the transfer and exchange of knowledge both domestically and internationally in the Food Technology Exchange Center (FTEC), leading to the sustainable development of the food industry. In 2024, examples of research achievements include:
Impacts and Benefits
Personnel research and development
Research and development outcomes
Research and development budget
Product Development ,CP ALL Plc.
In conducting educational work and producing food management innovations inclusive of food safety management and quality control, proper hygiene and good health, food supply chain framework balancing which takes into account environmental factors, academic advice provisions for entrepreneurial product quality development, main functions are described as follows:
In 2024, examples of research and development achievements include the development of a low-energy, natural sweetener with a taste closest to sugar, promoting consumer health; the development of health food for the elderly, taking into account nutritional value through the “Healthier Choice” nutrition symbol criteria; and the reduction of energy in warming products throughout the supply chain.
Impacts and Benefits
Personnel research and development
Research and development outcomes
Research and development budget
Value-Added Innovative Products
In 2024, the company responded to the rapidly diversifying and changing consumer behavior in selecting products and services, while adding value to products to promote growth and enhance the ability of SMEs to continuously develop innovations and create new products. The following are some outstanding innovative products.
Ongoing Project: Developing the Recipe for “Salad Rolls, Delicious and Complete in One Box”
CP ALL Public Company Limited has established a team of researchers to develop the production process of salad rolls, a popular health product that meets current consumer demand. The development focuses on extending the product’s shelf life through Postharvest innovation that helps maintain the freshness of salad vegetables, along with the invention of a special formula for soaking the dough (Only at 7-Eleven) that helps maintain the softness of the dough. In addition, the use of pathogen-free raw materials allows the product to have a shelf life of up to 5 days. This also helps generate income for farmers and raise production standards for SMEs.
Objectives and goals
Customers
Increase product variety, increase consumer choice
Company
Increase sales of Ready to Eat product group
Farmers
Promote and generate income for farmers, raise national agricultural capacity
Project Benefits
Increase product sales opportunities through extending shelf life
Increase sales outlets from
Added value from project totaling
Innovation Concept
Search, select, control
Determine suitable agricultural areas / select quality
raw materials / maintain supervision as scheduled
For raw material standardization
Technology
Pre-Cooling / Cutting Techniques / Hydro-Cooling /
Reduce Microorganisms / Increase Cell Strength /
Reduce Browning / Modify Atmosphere
For maintained vegetable freshness
Innovation
Dough varieties / dough components / dough soaking agent
For dough sheet softness and moisture retention
Skills and techniques
Trimming / Raw material placement / Dough chilling / Rolling / Temperature control
For product quality control
Impacts and Benefits
Economic impact
Social impact
Environmental impact
Economic value
Social value
Environmental value
Help me for Healthy Project
CPRAM (Lat Lum Kaeo) has developed products that build on popular menus while maintaining deliciousness with the concept of no MSG, no preservatives, using canola oil and proprietary ingredients. Products are designed using the “High Low No Less” principle, along with product manufacturing processes and packaging development. Currently, they are sold in 7-Eleven 446 branches nationwide, generating sales of new product groups of 22.91 million Baht per year.
Delicious, Easy, Ready-to-Cook Project in One Bag
CP ALL has developed ready-to-cook meal products by utilizing knowledge in product development and improvement combined with innovation in the production process. This includes selecting appropriate, healthy ingredients, as well as the process of selecting, cutting, and preparing them to the appropriate size and quantity to avoid food waste. Currently, these products are sold in all 7-Eleven stores nationwide, generating sales of more than 211 million Baht per year.
Burger Power Project 3
CPRAM (Lat Lum Kaeo) has developed innovations and technologies in the production process that preserve the good properties of sticky rice after being microwaved, similar to freshly steamed rice, which remains sticky, soft, and fragrant throughout its 11-day shelf life. Currently, it is sold in 14,303 7-Eleven stores nationwide, generating sales of more than 501 million Baht per year and reducing production costs by 95%.
Collaboration Brand Project – by Own Brand CP Axtra
CP Axtra, Makro Business Unit, has partnered with leading brands, restaurants, and renowned individuals to develop, produce, and sell products under the “Makro house brand”. This collaboration leverages the brand’s reputation, product development capabilities, and its role as a distribution channel for business customers to co-develop products that meet the needs of today’s customers, increasing the opportunity to expand the customer base from B2B to B2C. Currently, there are 9,837 products, generating additional sales of 44,888 million Baht per year.
Create Service Innovations to Deliver Convenient Experiences to Consumers with Digital Technology
The company has analyzed the purchasing behavior of consumers who are increasingly using online channels for products and services. The company is committed to developing and supporting the application of technology in business operations to increase the variety of sales channels for products and services, while increasing the efficiency of buying and selling products and services to be faster in order to meet the needs and satisfaction of consumers. The following are some outstanding projects.
Ongoing project: Online to Offline (O2O) Business Platform Development
The company continues to develop and improve the 7-Eleven mobile application platform, seamlessly connecting offline and online channels to create a comprehensive and convenient platform for delivering products and services, or “All Convenience.” This aims to enhance the customer experience for each group and area with different needs and purchasing power, as well as access to a wide range of products and promotions under:
The company also continues to develop and enhance the “ALL Member” membership system through the application, with over 20 million members. This not only serves as a good two-way communication channel with customers, but also allows members to receive benefits and privileges, while developing personalized benefits to select and develop more relevant products, and offer products and promotions that match the different behaviors and needs of each customer, so that all customers can benefit from the membership system and truly receive personalized care.
Easy to Pay, Easy to Sell Project
Counter Service Co., Ltd. aims to create a better payment experience for customers and international tourists. Therefore, it has partnered with Alipay Global to develop a connection system for accepting payments for goods and services at 7-Eleven stores using the Alipay Plus network’s electronic wallet. Its key feature is the ability to connect to up to 12 world-class e-wallets from 8 countries, reducing service time in the process of counting money or giving change, reducing communication problems for store staff, and also helping to reduce the burden of cash management for 7-Eleven stores.
Smart Water Insight IoT Project
CP Retailing Company Limited has applied IoT technology to public utility systems and intelligent water quality monitoring and tracking services. The research and development department has designed an IoT Board, a water quality monitoring kit structure, including a software prototype that can manage water quality measurement and tracking in real-time. When the water quality is below the standard value, the system will issue an alert, helping to reduce equipment damage, which may affect customer service and sales of 7-Eleven stores, leading to an upgrade of the preventive work process. In 2024, it reduced expenses and labor costs for equipment repairs worth 900,000 Baht per year, and reduced the risk of losing sales opportunities that use water to generate revenue from products worth 462,000 Baht per year.
Innovation to Improve Operation Process
In 2024, the company applied technology to upgrade work processes to be faster and more efficient, focusing on increasing the agility of operations for employees and relevant departments. The following are some outstanding projects.
Intelligent Planning Routes Project
CPRAM has reduced the complexity of internal inspection and approval of work, with ripple effects throughout the entire supply chain, from customers, employees, and trading partners, by developing the “NPD Status” website, a Data Integration system to replace manual pre-production readiness checks, and developing the “Postpone” program on the SAP system that can automatically suggest information to adjust the delivery date of raw materials to the factory, resulting in a faster work process. Customers can launch new products on schedule, meeting consumer demand and increasing employee job satisfaction.
Impacts and Benefits
Reduced working steps from
Eliminated of the approval process
Eliminated of the use of documents
Reduced expenses
Project to Reduce the Time of Handling 3 Fresh Products with An Auto Ordering System
CP ALL has developed an order calculation and auto-ordering system for raw materials to reduce the time spent managing products in the “3 Fresh” categories (Freshly Baked, Freshly Brewed, and Ready-to-Eat). The system calculates product sales to determine production volume and automatically calculates and orders raw materials.
Impacts and Benefits
Reduced handling time for “3 Fresh” products
Increased profits for the “3 Fresh” product group
Automatic Product Ordering System Project to Increase Product Availability
CP Axtra, Makro Business Unit, has developed an automatic product ordering system using the strategy of replacing people with systems, using artificial intelligence to forecast sales, and using people to supplement the system by providing knowledge to branch staff on how to use the ordering system.
Impacts and Benefits
Increased product availability
and increased sales opportunities by more than
Profit from increased sales
Creating Innovation for Social and Environmental
CP Axtra Public Company Limited and the Ministry of Higher Education, Science, Research and Innovation, by the National Innovation Agency (Public Organization) or NIA, are driving the upgrading of innovation capabilities and have signed a memorandum of understanding on cooperation for innovation capacity development. The goal is to design and develop innovation courses for CP Axtra personnel, as well as provide consulting and support in terms of experts and speakers to provide guidance and recommendations for the development of CP Axtra’s innovation to have competitive potential, including linking potential and agile startups or technology companies to create a network for exchange, dissemination, and sharing of knowledge between organizations to develop innovations and further grow the business sustainably. This collaboration included a showcase of CP Axtra’s innovative products, demonstrating creativity and product innovation development, including.
Water without plastic labels bottles promote the concept of environmental conservation, made from PET plastic bottles with aluminum labels. Laser technology is used instead of ink, making them 100% recyclable, reducing the use of new plastic by approximately 11.6 tonnes per year.
CP ALL has partnered with 10 organizations from both the public and private sectors nationwide, including the Office of National Higher Education Science Research and Innovation Policy Council, the National Science and Technology Development Agency, the National Innovation Agency (Public Organization), the Federation of Thai Industries, the Stock Exchange of Thailand, the Office of the Permanent Secretary, Ministry of Higher Education, Science, Research and Innovation, the Thai Business Incubators and Science Parks Association, the Thai Chamber of Commerce and Board of Trade of Thailand, the Thai Bankers Association, and the Office of Small and Medium Enterprise Promotion, to promote innovation development under the “Thailand Synergy for SMEs and Thai Startups” project. This is done through the support and awarding of research and innovation achievements in the 7 Innovation Awards 2024 for the 11th consecutive year to exchange knowledge, create opportunities, expand marketing channels, and apply best practices to upgrade businesses.
In 2024, entrepreneurs submitted 180 entries to compete for the 7 Innovation Awards 2024. A total of 34 entries were selected to receive awards, divided into two categories: 19 awards for innovations that benefit the economy, covering products, services, or processes; and 15 awards for innovations that benefit society, including the environment, education, and corporate social responsibility (CSR) projects.
Energy-Saving Open Showcase Innovation Project
The Open Showcase innovation is a key sales component of the company for selling various food and beverages in 7-Eleven stores with a wide range of products. Throughout its use, the company has continuously improved, researched, and developed energy-saving innovations for the system and various parts in 2024.
Impacts and Benefits
Reduce energy consumption costs by more than
Extended the service life of store equipment
Innovation Culture
The company provides training and knowledge in innovation development to build understanding and encourage employees to propose valuable creative ideas to the organization. It promotes the development of innovators within the organization through internal innovation project contests within the CP ALL business group to recognize projects with outstanding results in economic, social, and environmental aspects. In addition, it promotes the exchange of knowledge and new best practices to improve work processes, reduce unnecessary workload, and increase organizational agility to be able to respond to changes in the global market both at present and in the future. The company aims to build an innovation culture in which everyone in the organization participates in delivering sustainable value to the organization.
Related Policy and Guideline
| Innovation and Value Creation Policy | Download |
