Responsible Supply Chain Management

Responsible Supply Chain Management

Key Performance in 2022


100%

Critical Tier 1 suppliers and Critical Non-tier 1 suppliers have completed the comprehensive assessment

100%

Tier 1 High-risk suppliers have completed the comprehensive assessment

100%

Tier 1 High-risk suppliers have a risk management plan

Key Progress in 2022


Conducted training continuously every year to educate SMEs suppliers and encourage participation in the Declaration of the Thai Collective Action Against Corruption (CAC)

Developed supplier sustainability risk assessment tools which correspond to the type and capacity of respective supplier's business value

Develop a proactive supplier sustainability audit model which corresponds to current situations

Established programs to develop supplier sustainability capacity according to risk level (Capacity Building)

Performance Against Goal


2030 Goal

100%

Tier 1 Suppliers with high sustainability risk must receive comprehensive assessment and improved

Progress against short-term and long-term goals

Performance Summary 2022

Supplier Identification

1985  Suppliers

Tier 1 Suppliers

159  Suppliers

Significant Tier 1 Suppliers*

0  Suppliers

Significant Non-Tier 1 Suppliers*

119  Suppliers

Critical Tier 1 Suppliers

17  Suppliers

Critical Non-Tier 1 Suppliers

Remarks :
Significant Suppliers
Suppliers identified as having a high risk of negative ESG impact or having a significant business relationship with the company. or both together which consists of: 1. Critical Tier 1 Suppliers refer to High Volume Suppliers and/or Critical Component Suppliers which have a significant impact on competitive advantage. market success and or Non Substitutable Suppliers 2. ESG High-risk Suppliers refer to suppliers who are at high risk of negative ESG impacts. Significant Suppliers Spending Analysis

Proportion and purchase value

Proportion of domestic purchase value

Propotion of purchase value from Significant Tier1 Suppliers

44749  million Baht

Purchase value from SMEs*

*Purchase value from SMEs encompasses agricultural products, local products and OTOP

Tier 1 Suppliers Engagement

Communicated for Suppliers’ Code of Conduct

Written Acknowledgement for Suppliers’ Code of Conduct

Training Provided for Responsible Supply Chain Management

Significant Tier 1 Suppliers Engagement

0  Suppliers

Communicated for Suppliers’ Code of Conduct

0  Suppliers

Written Acknowledgement for Suppliers’ Code of Conduct

0  Suppliers

Suppliers in Capacity Building Programs

*Remark: 2022 Goal: 100%

Environmental, Social and Governance (ESG) Risk Management

Suppliers Assessed via Desk Assessment/On-Site Assessments

159  Suppliers

Significant Tier 1 Suppliers*

Remark: 2022 Goal: 100%

Suppliers Assessed with Substantial Actual/Potential Negative Impacts

11  Suppliers

Significant Tier 1 Suppliers*

Remark: 2022 Goal: 100%

suppliers with substantial actual/potential negative impacts that were terminated 0 case

Suppliers with Substantial Actual/Potential Negative Impacts with Agreed Corrective Action/Improvement Plan

11  Suppliers

Significant Tier 1 Suppliers*

Remark: 2022 Goal: 100%

Suppliers Supported in Corrective Action Plan Implementation

11  Suppliers

Significant Tier 1 Suppliers*

Remark: 2022 Goal: 100%

Risks and Opportunities


Responsible supply chain management, which initiates from quality supplier selection to supplier capacity building and relationship building, is an important factor in improving delivery process efficiency for consumers. Process development which integrates sustainability into the supply chain management process reduces risks associated with cost, shortage of raw materials and inventory, human rights violations including decent work condition rights, rights for life, liberty and security which may potentially interrupt business operations and tarnish company image. Present-day organizations from all sectors are focusing on enhancing their supply chain management in terms of efficiency while integrating sustainable
development practices into business operations throughout respective supply chains. The Company has supported the operations and promoted the potential of supplier groups for joint growth while considering social, environmental, governance and human rights issues throughout the supply chain. This approach reduces operational risks, increases business opportunities, competitiveness and developments to strengthen suppliers and business patners sustainably.

Management Approach


CP ALL Public Company Limited and its subsidiaries (the “Company”) aim to continue efficient management of supply chain operations while maintaining transparency, fairness, human rights and responsibility to all stakeholders groups through sustainable sourcing policies according to the Supplier Code of Conduct and Guideline which focuses on society and the environment. The mentioned approach, which promotes participation and development among Tier 1 Suppliers and Non-Tier 1 Suppliers across the supply chain, covers important issues such as production process environmental standards, suppliers products and services, child labor, fundamental human rights, appropriate working conditions, compensation, occupational health and safety, business ethics, and includes encouragement for sustainable procurement policies. The Company has concurrently conducted supplier risk assessments comprising all supplier groups, for instance, Tier-1 Suppliers, which indicates suppliers of high purchase value, suppliers of strategical importance, critical suppliers or non-substitutable suppliers composed of Tier-1 Suppliers with a small to medium purchase value. The development of supplier risk assessment tools suitable towards respective supplier group business sector enables capacity development and continuously elevates sustainability performance. Outcomes of this measure include organizational reduction in supply chain management, the promotion of life quality, establishing good relationships with suppliers, communities and society, assistance in mitigating environmental and ecological impacts within the framework policy and operational goals of sustainable supply chain management.

Supply Chain Management Strategy

Suppliers’ Code of Conduct and Guideline

The Company encourages its suppliers to comply with the Code of Ethics and Guidelines for Suppliers which relates to Tier-1 and Tier-2 Suppliers throughout the supply chain in every business through 16 practical guidelines. Additional details can be found in the Suppliers’ Code of Conduct and Guideline. During the previous 3 years, the Company has cumulatively communicated the Suppliers’ Code of Conduct and Guideline to 1,985 Tier-1 Suppliers and in 2022, the Company has communicated the Suppliers’ Code of Conduct and Guideline to 185 Tier-1 Suppliers (100%).

Sustainable Supply Chain Management Process

Sustainable Supply Chain Management Process
Integrate the concept of sustainability, reduce risks throughout the supply chain Value and Develop Creation Support SMEs
01
Communicate expectations, recruit, and select capable suppliers while considering sustainability criteria
02
Gain knowledge and manage suppliers’ sustainability risks
03
Promote and support capabilities development
04
Build and maintain a long-term relationship

1. Communicate expectations, recruit, select and contracts with God ESG performance suppliers

The Company aspires for responsible and efficient supply chain management and the continuous prevention of human rights violations through integrating sustainability issues into the recruitment and selection of new business suppliers within every process, includes considerng for making cntractswith potential supliers, who are cnply with relevant laws, regulations and requirements, as well as Good ESG performance (Good ESG performance is cnsidered from scores assessed by the Company, which established the minimum ESG score. Suppliers who are unable to meet the minimum ESG requirments within the set timeframe will no longer be eligible for contract consideraton). Criteria for assessing capacity and qualifications for selecting new business suppliers have been established to cover key issues as follows: product qualities and safety, optimal production capability and cost management, delivery fulfilment capability and ESG assessment results. Suppliers receive communication regarding organizational expectations in addition to endorsing acknowledgment of the Suppliers’ Code of Conduct and Guideline.

In addition perchasing practices towards suppliers are cntinuously reviewd to ensure alignment with the Supplier Code of Conduct andto avoid potential conflicts with ESG requirements, as well as disseminatng policies and practices on sustainble procurement through training, knowledge sharing, or activities to raise awareness in various forms to executives and employes in responsible units who invoive in the selection, procurements, operation and make decisions proces. This includes external stakeholders, suppliers, contractors and busness partners who are crucial in facilitating the company to achieve ESG Goals throughout the supply chain

In 2022, 185 new suppliers, representing 100%, were selected based on criteria that integrates sustainability issues covering economic, environmental, social and human rights dimensions.

2. Manage Suppliers’ Sustainability Risks (Screen and Assessment)

The Company assesses sustainability risks among all Tier-1 Suppliers, including existing suppliers and new suppliers, in collaboration with the procurement and supply chain risk assessment units tasked with risk assessment. CPALL to manage supliers' Sustainability Risks section as follows;

  • Screening process for significant suppliers considers environmental, social, governance, and business relevance aspects
  • Methdology of suppliers screening considering country-specific, sector-specific, and commodit-specific risks
  • Climate Resilience
  • Sustainable packaging management
  • Sustainable waste management
  • Sustainable raw material sourcing
  • Ecosystem and biodiversity protection
  • Human rights and labor management
  • Occupational health and safety
  • Build and maintain a long-term relatioHealth and well-being (Product quality and safety)nship
  • product qualities and safety
  • optimal production capability and cost management
  • delivery fulfilment capability

Tools used for supplier screening process - Low spending

Concept : Supplier Risk Assessment - Low spending

ESG Topics Identification - Low spendng

Example of Information Template - Low spending

              1 2  
               Inherent Mitigation Resdual
Company Name  Industry Group Sub-group Description Key ocation Employees ESG Inherent Risk Risk Mgmt. ESG Residual Risk
  Retal Equipment Office Pen Rayong 30 Low 4 Low
  Consultation Non-trade Consultant Auit Bangkok 90 Medium   Medium
  Fresh Retail Fresh Frit Multi-fresh fruit Songkla 150 High   High
    Dry              

Example of Information Template - Low spending Inherent Risk

# Vender Code Company Name (Compliance Assessment) Group Sub-GRoup Ecosystem and Biodiversity Occupational Health and Safet Human Rights Food Safetyand Product Quality
1 A01 AAA Yes Production non-alcoholic beverages 7 11 7 8
2 A02 BBB Yes Production non-alcoholic beverages 5 6 5 6
3 A03 CCC Yes Production processed food, fruits and vegetables 6 7 5 8
4 A04 DDD Yes Production processed food, fruits and vegetables 8 9 7 10
5 A05 EEE Yes Production Publishing_printing of advertisements and reproduction of recorded media 4 7 4 5
6 A06 FFF Yes Production Other products_furniture_toys_musical instruments_stationery 4 10 6 5

Score

Assessed Factor Human Right Health & Nutrition Ecosystem & Biodiversity OHS
DJSI High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1
SASB  High = 3 High = 3 High = 3 High = 3
Subgroup High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1
Number of Employees High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1 High = 3, Medum = 2, Low = 1
Location (Score) High = 3   High = 3 High = 3
Final Risk 11-15, 6-10, <=5 9-12, 5-8, <=4 11-15, 6-10, <=5 11-15, 6-10, <=5

Tools used for supplier screening process - Medim and High spending

Concept : Supplier Risk Assessment - Meium and High spending

ESG Topics Identificaion - Medium and High spending

Example of Information Template - Medium and High spending

If the results of the preliminary risk assessment (screening) by the company reveal which suppliers pose potential sustainability risks in the supply chain from an ESG perspective and dependence from business operations. The Company will conduct an assessment of its suppliers to identify Residual Risk through the form of supplier assessment as follows:

  • Sent questionnaires that allow partners to provide information and Desk Assessment and show risk management measures. Via an online self-assessment questionnaire for suppliers:SAQ which consists of two main questions:
    - Questions about preliminary information of suppliers that are significant to risks and business relevance, consisting of product type, production location, number of employees, labor employment. important business activities and Standards and Manufacturing Capabilities
    - Questions about governance, social and environmental management consisted of 16 main questions divided into parts 1-5 questions about good governance and anti-corruption, part 6 questions. questions about Safety and Production Standards, Part 7 Questions about Responsible Sourcing Including Traceability, Sections 8-13, Labor, Employment and Human Rights Questions, Section 14 Safety Questions. Occupational health and working environment and part 15-16 questions about environmental management
  • In the event that suppliers is unable to show evidence and measures for risk management The company will conduct an onsite assessment or virtual assessment by an expert employed by the company (2nd party assessment) to find out the Residual Risk. The assessment checklist questions are designed in accordance with accepted industry standards and methods such as SMETA standards under the topic of assessment. labor standards Health and Safety, Environment and Business Ethics
  • For suppliers that are certified with ESG standards that the company has set, such as SA8000, ISO14001, ISO54001, ISO45001, ISO22000, ISO22301(BCM),ISO 50001 by an independent accreditation body (3rd party assessment) according to the standards. Requirements for an ISO/IEC 17021 management system audit and certification body to provide evidence of the certificate (Certification) and audit documents to monitor the maintenance of the system. (Surveillance Audit) to auditor

Examples for certificate from 3rd party

In 2022, the Company conducted Risk Screening of 1,985 Tier-1 Suppliers, representing 100% of Tier-1 Suppliers, Assessments for 159 Significant Suppliers, representing 100% of Significant Suppliers, 119 Critical Tier-1 Suppliers, representing 100% of Critical Tier-1 Suppliers, and assessments for 40 High Risk Suppliers, representing 100% of High Risk Suppliers. The proactively assessments have indicated 4 significant risk issues, namely environmental management, labor management and human rights, safety and occupational health, and legal and regulatory compliance.

In addition, the Company encourages its suppliers to internally develop respective sustainability risk management measures. 100 percent of suppliers have detected significant sustainability risks, known as Potential Finding, from the proactive assessment. There are risk management  measures which enable rectification according to corrective action plans within 1 year as follows:

Potential ESG Findings from Sustainability Assessment

Environmental Dimension
Risk Issues Corrective Action Plans
Environmental Management
- Sewage management according to the Ministry of Industry announcements
- Environmental impact and environmental quality assessment according to law
- Notification of registration to the Ministry of Industry and license application according to the announcement of the Ministry of Industry (Sor Kor 1,2,3)
- Prepare an environmental impact assessment form and determine corrective measures
Social Dimension
Risk Issues Corrective Action Plans
Safety and Occupational Health
- Organize “firefighting training, fire drills and chemical spills” training to employees
- Safety manual and organize employee training on work process safety
- Work environment assessment
- Assessment of equipment and relevant equipment functionality for incidence suppression including the posting of various indication signages
- Organize an annual training plan and compile a training report summary
- Prepare a safety manual and establish an employee training department
- Establish an environmental inspection department in reviewing annual work performance by a certified agency
- Analyze the audit results prior to improvements and corrections according to the law
- Establish an equipment inspection department, both for operational equipment and incidence suppression equipment, including the posting of various indication signages
Labor and Human Rights Management
- Employee health checks based on risk factors
- Code of Conduct manual
- Establish health monitoring guidelines according to risk factors and perform employee health checks
- Prepare the Code of Conduct manual and disseminate to employees
Governance Dimension
Risk Issues Corrective Action Plans
Regulatory and Legal Compliance
- Revise legal changes associated with business operations
- Manual labor
- Employment contract
- Hazardous chemicals usage
- Fire extinguisher installations
- Registration of personnel or security agencies at the management level, supervisory level, etc
- Appoint responsible person
- Preparing legal registration and review changes in various laws
- Preparation of labor manuals and disseminate to employees
- Prepare a written employment contract in a language comprehendible by employees
- Prepare a list of hazardous chemicals and corresponding safety information (Sor. 1) prior to notifying respective government agencies
- Install fire extinguishers according to legal requirements
- Appoint personnel at various levels and provide them with training prior to registration notification with the Office of Labor Protection and Welfare

Example for Corrective Acton Plans

Example for Corrective Acton Plans Implementaton

In this regard, the Company has continuously monitored development progress and supplier risk resolutions, while focusing on promoting and developing supplier capacity in business operations. This approach increases efficiency and enables simultaneous sustainable growth for both the supplier and organization.

3. Promote and support capacity development

  • Training, providing knowledge and information. Through various media and channels such as online and offline training of the company Creating a manual for partners covers content about Overview of ESG Responsible Business Practices, Partner Assessment and Development Process, Business Ethics and Guidelines for Partners, Knowledge of best practices for assessment topics that most suppliers fail to implement. The minimum set by the company
  • Encourage suppliers to have access to ESG management performance assessment data comparatively with other suppliers (benchmarks against peers). including examples of good operational practices. (Best Practice). As well as develop a report to show suppliers' assessment results and publicly upload it to the website. This report will be used as ESG benchmarks against peers for all suppliers.

Example for ESG scored benchmarks against peers

  • Provide advice on how to and support documents, samples, and resources necessary for partners in planning and corrective actions, including on-site consultation or through an online meeting or by phone Until suppliers can proceed to close the Potential Finding within the specified time.

Example for Supplier Support (Remote/On-site) on Implementation of Corrective Action

  • Comprehensive capacity-building programs that help improve supplier practices and performance on specific ESG topics through training, baseline assessments, collaborative system development, and progress measurement as below:

In-depth technical support programs to build capacity health & safety management topic for transportation contractor.

Based on the analysis of supplier sustainability risk assessment results Non-compliant (PF) according to the law. In 2022, the most common risk issues are safety, occupational health and working environment. especially among transport contractors Including assessing the trend of accidents during the year 2020 compared to the year 2021 of the increasing number of transportation vehicles. In 2022, the company has developed a potential development program. In-depth security management to the transport contractor Develop a cooperation system to raise standards and measures to promote the safety of freight vehicles that provide transportation services to the company. and progress is regularly measured The period of continuous operation in 2022-2023 is as follows:

  • Appoint a transport system working group, define roles, duties and responsibilities for reviewing Examine operational standards that promote the safety of transport contractors. Define measures to reduce risks that may cause accidents both inside and outside of working hours. Define product quality control standards during delivery. To ensure that transport contractors can operate efficiently in accordance with safety standards. There are representatives from CP All's executives and transport contractors joined as a working groups. Meeting 2 times a month
  • Organize training programs, communicate, raise awareness of the safety of transportation vehicles to those involved continuously

2021 - 2022

Executive Transport Agency & Coordinator Transport Worker
  • Seminar to reduce car use costs with Isuzu
  • Annual safety driving training with Tri Petch Isuzu team
  • Online training for truck maintenance
  • Online training for safety standards in transportation
  • Annual safety driving training with Tri Petch Isuzu team
  • Clarify to transport staff that they are ready to perform their duties. Be aware of the routes and weather conditions on a daily basis. Emphasize safety practices and awareness
  • Training for new/existing transport workers within the area
  • Annual safety driving training with Tri Petch Isuzu team

2023

Executive Transport Agency & Coordinator Transport Worker
  • Seminar to reduce car use costs with Isuzu
  • Transport Safety Management Seminar with Isuzu
  • Build a driving safety trainer in The "Train the Trainer project"
  • Annual safety driving training with Tri Petch Isuzu team
  • Clarify to transport staff that they are ready to perform their duties. Be aware of the routes and weather conditions on a daily basis. Emphasize safety practices and awareness
  • Training new transport workers/existing transport workers within the area trainer the training model
  • Annual safety driving training with Tri Petch Isuzu team

Pre-brief ensures that transport workers are ready to work on a daily basis.

  • Establish safety standards for transport vehicles Check the condition of the vehicle before traveling
  • Dressing : Company uniform ?
  • High Beam: Ready or Not?
  • Low beam: Ready or Not?
  • Tail light: Ready or Not?
  • Brake lights: Ready or not?
  • Reverse light: Ready or not?
  • Reflective Vests: Available or Not?
  • Horn sound: It works or Not?
  • Windshield: Available or Not?
  • Wiper/Wash System: Ready or Not?
  • Side mirrors: Ready or Not?
  • Seat belts: Ready or Not?
  • Alcohol hand sanitizer in the car: Is there or not?
  • 2 Rubber cones : Ready or Not?
  • Wheel pillows: Ready or Not? (over 6 wheels)
  • GPS : Ready or Not?
  • Left-right cabin door: Ready or Not?
  • Exhaust pipe: Is it a modified pipe?
  • Exhaust smoke: Is the car black smoke?
  • Fire Extinguisher: Ready or Not? (over 6 wheels)
  • Tread Tread Bridge: Ready to Not?
  • Car Insurance: Expiry or Not?
  • Vehicle registration: Expired or Not?
  • Driver's License : Expired or Not?
  • Spare tire: Ready to Not?
  • Define rest stops on long-distance transit routes with a distance of more than 250 kilometers or a journey of more than 4 hours
  • Install GPS for all transport vehicles to 100%
  • Establish a road condition reporting system and emergency situations Including accident risk points of each area flood path and bypass
  • Organized a safety promotion activity "TELETEC DRIVING CONTEST PROJECT", a competition period of 1 month per area continuously throughout the year 2022-2023, with the criteria for scoring safety 100 points, saving 100 points.

KPI Safety

Scoring Criteria Driving Result
No. Topic Full Score Conditions for point deduction (according to the selected time period) Score Infraction
1 The number of times the speed limit has been exceeded 20 If there are violations greater than equal to 5 times/100km will be deducted all points 20 0 times/100 km.
2 Exceeding the speed limit 20 If there are violations greater than equal to 15 percentage of driving time All points will be deducted 20 0 percentage of drive time
3 Driving continuously for more than 4 hours/time 20 If there are violations greater than equal to 20 percentage of distance traveled All points will be deducted 20 0 percentage of distance traveled
4 Number of times the sudden deceleration 20 If there are violations greater than equal to 5 times/100km will be deducted all points 20 0 times/100 km.
5 Number of times a sudden turn 20 If there are violations greater than equal to 1 times/100km will be deducted all points 20 0 times/100 km.

Remarks: In case of violation less than the specified value, points will be deducted proportionately

KPI Eco

Scoring Criteria Driving Result
No. Topic Full Score Conditions for point deduction (according to the selected time period) Score Infraction
 1 The number of times that sudden acceleration  20 If there are violations greater than equal to 3 times/100km will be deducted all points  20 times/100 km.
2 Number of times the sudden deceleration 20 If there are violations greater than equal to 5 times/100km will be deducted all points 20 0 times/100 km.
3 ระยะเวลาจอดไม่ดับเครื่องยนต์นานเกินกำหนด 20 If there are violations greater than equal to 15 percentage of distance traveled All points will be deducted 20 0 percentage of distance traveled
4 Exceeding the speed limit 20 If there are violations greater than equal to 15 percentage of driving time All points will be deducted 20 0 percentage of drive time
5 Exceeding the speed limit 20 If there are violations greater than equal to 15 percentage of distance traveled All points will be deducted 20 0 percentage of distance traveled

Remarks: In case of violation less than the specified value, points will be deducted proportionately.

  • There is a daily report and follow-up of transport accidents. After transport contractors participated in the development program, it was found that transport contractors had better performance in transport safety. There are fewer accidents. In 2023, the company still has a development program Continually enhance transport contractor safety performance towards zero accidents

Improvement resuts: Transport accidents in 2021 compared to 2022

Number of accidents in 2021 : 261 Cases
  37.50%
Number of accidents in 2022 : 163 Cases

In additional, The Company is committed to continuously developing suppler capacity, a means whereby suppliers can apply respective knowledge and skills to create careers and generate sustainable income, through 3 approaches as follows:

  • Joint Business Plan : develop business plans with strategic suppliers
  • Project & Initiatives : provide knowledge to suppliers through various activities
  • Implementation & Evaluation : organize training courses on sustainability

In 2022, the Company has undertaken a variety of projects to provide knowledge and enhance supplier sustainability capacity. The outstanding projects are as follows:

Continuous supplier capacity development projects

The Company proceeded with capacity development projects for contractors for the sixth continuous year as a measure to prepare new contractors prior to operations initiation. This approach raises work safety awareness through organizing online and on-site orientations and includes training courses on workplace safety specifically for construction contractors, electrical work, repair work, specialized work, and transport contractors. In 2022, 14 contractors participated in the training.

In addition, the Company organized a training program for the Coalition Against Corruption of the Thai Private Sector (CAC) in 2022 for 38 business suppliers and SME entrepreneurs in an online format according to the New Normal way to create values, promote operations with honesty, transparency, and without corruption. New suppliers received training and education regarding the Suppliers’ Code of Conduct and Guideline via online format. The content scope covers compliance with laws and international practices for the environment, for instance energy management, social waste management including labor practices, occupational health and safety and corporate governance, which consists of personal data protection, for 71 suppliers.


7-Eleven project alongside Thai Farmers (continuously)

The Company has operated the 7-Eleven project alongside Thai farmers for the 9th year in a row to enhance farmers’ quality of life and provide customers with better access to agricultural products through post-harvest technology innovation implemented to the production process. The innovation adds value to Homthong Banana products and has since expanding to include fresh vegetable products, seasonal fresh fruits, salads, trimmed fruits and ready-to-cook vegetables, as well as promoting good manufacturing practices (GMP) in manufacturing plants. The joint development of packaging adds value to productsand responds to new consumer needs which entails increasing
demands for environmentally friendly products and services.

Impacts and Benefits

1932  persons

were participated in the project

80979  rais

Plantation area

284  items

Add variety to sold in 7-Eleven stores

4. Build and maintain a long-term relationships with suppliers

The Company aims to continuously maintain good relations with suppliers through the exchange of knowledge, planning and joint product development. Supplier meetings are held yearly to exchange opinions and receive to various suggestions between partners and organizations.

Sansu jelly 0 calories

7-Eleven collaborates with Zart-Pattamaporn Preechawutidet and Kan-Athakorn Rattanarom, new generation SME entrepreneurs, to formulate Thailand's first zero-cal jelly to meet the needs of health conscious customers who desire desserts through using konjac as an ingredient in jelly for added benefits and satiation. The product has been well received with sales up to 140 million Baht. In 2022, the key to business success is establishing partnerships, with 7-Eleven being an important partner who provides knowledge from the beginning through the new count-one model, which initiates with stock management to production cost management and product development. In addition, maintaining inventory is another factor which affects raw material procurement planning thus potentially assists with effective cost controls. Creating a clear selling point will assist with focus on the target customers and enable a marketing plan which matches the customer group.


Triple Fresh Company Limited

One of the SMEs entrepreneurs who discovered growth within the national fruit market started selling ready-to-eat fruits at 7-Eleven stores. The entrepreneur desired business expansion but encountered obstacles regarding fresh fruit products which includes a limited shelf life. Prolonged storage may result in diminishing quality and benefits prior to consumption. A dedicated 7-Eleven specialist team provided advice related to product quality improvements, marketing, and packaging which could reduce processes and time required to deliver fresh fruit. The developments allow consumers access to fresh and high-quality products available in a form beautifully packaged, ready-to-eat, clean, safe and suitable for daily consumption. At present, products comprising jackfruit, pomelo, papaya, guava with salt and pepper, dragon fruit, and ready-to-eat peeled Sainampeung
orange are sold at over 8,000 7-Eleven stores in Bangkok and its vicinity at over 10,000 packs per day.

ESG Integration in SCM Strategy

The Company has integrated ESG in SCM strategy as follows:

Key objectives ESG-related objectives in supply chain management Overall supply chain management strategy linking to ESG

Empowering SMEs

Enhance SME’s capability in different perspectives, e.g. financial, product development, packaging development, logistics, sustainability, etc. Our supply chain management focuses on co-creation initiatives according to SDG 8.2 with all suppliers. We aim to collaboratively improve suppliers especially SMEs capacity in technological and innovation aspects. This is expected to result in positive social impact through economic growth and living standards.

Creating Shared Value (CSV) “Develop and support Small and Medium Enterprises (SMEs)” CP ALL efforts demonstrate our determination to enhance product variety cost and operational effectiveness and good relations with community and society at large through development, co-creation of innovative products and service with partners/ suppliers for better environments.


Reducing plastic waste from packaging

Reduce volume of packaging usage from suppliers within the general waste management process, consistent with CP ALL’s circular economy goals. This aims to fulfill SDG 12.6 and CP ALL Sustainability Framework “Biodiversity and Ecosystem Protection” through packaging design, materials, and reduction programs. Under our environmental strategy (7 Go Green). We are collaboration with packing suppliers and others to redesign packaging, aiming to reduce plastic waste. Environmentally Friendly Packaging Project is active during 2021-2030. The Company implemented this project while adopting the 3R (Reduce-Reuse-Recycle) Principle to mitigate environmental impacts generated from packaging. This was achieved through a reduction of natural resources consumption and post-consumption waste generation. We Are working closely with suppliers to reduce plastic waste generation.

7 Go Green “Green Packaging”, the global trends in reducing plastic packaging usage brings about CP ALL’s ESG objectives development. One of the CP ALL Environmental Stewardship strategy components is to encourage the suppliers to integrate sustainability consideration into their operations, especially packaging design, and materiel selection. There have been collaboration programs with the packaging suppliers, e.g. process improvement for less material consumption.

In addition, the Company has applied the sustainability criteria to assess the risks of its existing and new suppliers manufacturing Private Brand: PB products whereby Suppliers must undergo sustainability risk assessments through the Suppliers Self-Assessment Questionnaires (SAQ) system. Selected suppliers meeting Company criteria standards must score a minimum of 50% on ustainability performance.
The established Company established sustainability criteria include product and production standards, employment, welfare, and environmental management.

Supply Chain Management’s Success Indicators

The Company has set the index to measure the success of supply chain management. In 2021, there are indices that measure success, goals, and operating results as follows:

Order Supply Chain Key Performance Indicators (KPIs) Target Performance for the previous 3 years
KPI 1 Tier 1 Suppliers with high sustainability risk must receive comprehensive assessment and improved 100% of Tier 1 Suppliers with high sustainability risk must receive comprehensive assessment and improved by 2030
KPI 2 SMEs Purchase Growth (Procurement Spending) SMEs product purchase growth by 10% by 2025 (compared to base year 2020)
KPI 3 Supplier Engagement 90% for supplier engagement level by 2030
KPI 4 Plastic packaging within the Company's control (Private Brand) must be reusable or reused or biodegradable 100% of plastic packaging within the Company's control (Private Brand) must be reusable or reused or biodegradable for companies operating in Thailand by 2025 and for companies operating overseas by 2030

Related Policy and Guideline

News and ActivitiesVisit Page
Sustainable Sourcing PolicyDownload
Supplier Code of Conduct and GuidelineDownload

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    ประเภทของคุกกี้มีความจำเป็นสำหรับการทำงานของเว็บไซต์ เพื่อให้คุณสามารถใช้ได้อย่างเป็นปกติ และเข้าชมเว็บไซต์ คุณไม่สามารถปิดการทำงานของคุกกี้นี้ในระบบเว็บไซต์ของเราได้

  • คุกกี้ในส่วนวิเคราะห์

    คุกกี้ประเภทนี้จะทำการเก็บข้อมูลการใช้งานเว็บไซต์ของคุณ เพื่อเป็นประโยชน์ในการวัดผล ปรับปรุง และพัฒนาประสบการณ์ที่ดีในการใช้งานเว็บไซต์ ถ้าหากท่านไม่ยินยอมให้เราใช้คุกกี้นี้ เราจะไม่สามารถวัดผล ปรับปรุงและพัฒนาเว็บไซต์ได้

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