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Sustainable Management Approach

     SCG conducts business in compliance with 4 core values, not only focusing on economic aspect, fundamental factor of business sector or revenue from business, but also e m p h a s i z i n g o n s o c i a l a n d environmental stewardship. SCG has been implementing the 4 core values until it embeds and becomes the corporate culture. From the past to present, growing numbers of employees are in alignment with business growth, social and environmental changes. In order to maintain the leadership status or role model, building up corporate’s cultural awareness among employees, generation by generation, and conducting updated practice guideline that responds to changes can create better understanding and clarify practice in action which is developed consequently.

     In 1991, SCG announced the Environmental Conservation and Safety Policy following by the Environment Conservation Policy in 1995. These 2 documents are considered as key turning points that emphasize on the control of impacts generated by SCG operations. Later, SCG adopted and applied International Standards on Environmental Management System (ISO 14001) and Occupation Health and Safety Management (ISO 18001) in 1997 and 2003, respectively, in order to acknowledge all companies under SCG management to take environmental, occupational health and safety aspects in consideration as parts of corporate management that illustrate independence, responsibility and continual development. Successful outcomes were extended in energy provision aspect. In 2011, SCG adapted and applied Energy Management System Standard (ISO 50001) in use.

     SCG had also been implementing Environmental Performance Assessment Programme ( EPAP) and Safety Performance Assessment Programme (SPAP) since 2001 and 2003 in continuity in order to build up trust among stakeholders on SCG performance, including environmental, occupational health and safety aspects.

     In corporate governance aspect, SCG Code of Conduct was announced in 1987 and it was improved continually to fit with periodically situations. Results from SCG Code of Conduct were extended to contractors in 2013 to ensure trust in transparency, disclosure and accountability of business. Furthermore , SCG announced Stakeholder Engagement Policy, the additional policy on practice toward stakeholders in 2010 because SCG believed that conducting business with CSR and environmental respect would strengthen the corporate to conduct business with sustainability.

     Apart from clear policy, result extension that leads to action is also important. Therefore, SCG has developed ‘SCG Sustainable Development Guidelines’ in 2008 to promote and support operations in various aspects appropriately and clearly. Then, other practice guidelines are announced continually, such as Green Procurement Guideline and SCG Safety Framework.

     SCG has been monitoring and implementing management systems and standards in continuity, such as Total Quality Management, Total Productive Maintenance and Guideline for Social Responsibility (ISO 26000) in order to develop outcomes, leading to achievement of objectives and targets.

Sustainable Development Committee (as of 1 January 2015)
  1. Roongrote Rangsiyopash
    President, SCG Paper

Chairman
  1. Pichit Maipoom
    President, SCG Cement - Building Materials

Member
  1. Cholanat Yanaranop
    President, SCG Chemicals

Member
  1. Somchai Wangwattanapanich
    Vice President - Operations, SCG Chemicals

Member
  1. Aree Chavalitcheewingul
    Vice President, Regional Business, SCG Cement-Building Materials

Member
  1. Nithi Patarachoke
    Vice President – Domestic Market, SCG Cement-Building Materials

Member
  1. Chaovalit Ekabut
    Vice President – Finance and Investment & CFO, SCG

Member
  1. Tanawong Areeratchakul
    Vice President - Corporate Administration, SCG

Member
  1. Venus Asavasitthithavorn
    Director - Corporate Communication Office

Member
  1. Cholathorn Dumrongsak
    Director of Center of Excellence and Sustainability Development

Member and Secretary
  1. Numpol Limprasert
    Sustainability Development

Member and Assistant Secretary

 

Sustainable Management Structure

     The key composition to drive policy on standard system and operational guideline, including the support of operating employees is SCG Sustainable Development Committee that has responsibility to determine and review sustainable policy, guideline and target. The SCG Sustainable Development Committee adapted roles and responsibilities from SCG Environmental Conservation and Safety Committee that was set up in 1995 to cover sustainable development in SCG’s overview. At present, SCG Sustainable Development Committee comprises SCG Paper President as a Chairman and top executives from every business unit and corporate functions as committee members. In order to drive sustainable development toward same direction, committee and working team for each sustainability issue are set up to determine strategy, direction and target. Various committees in relevance with each stage of SCG sustainable supply chain are mentioned as below:

  • Production process under worldclass standard or Green Manufacturing involves SCG Energy Committee, SCG Waste Management Committee, SCG Water Management Committee, SCG Climate Change Committee and SCG Green Building Committee. In 2014, SCG Hazardous Waste Committee was established.
  • Leveraging management of upstream supply chain involves SCG Supplier Development for Sustainability Committee which extends scope of green procurement, SCG Contractor Safety Certification System (SCS) and SCG Code of Conduct.
  • Creating added value for producers and downstream consumers or downstream supply chain involves SCG eco value Committee, offering options in consumption of environmentally friendly products and services.
  • Promoting and disseminating sustainable development guideline involves SCG CSR Committee for Sustainable Development and SCG Foundation that support and strengthen the society. Besides supply chain, SCG looks forward to other organizations, considering as a part of SCG vision in CSR.

     To implement activities in compliance with business unit, companies, plants and different areas have also set up Sustainable Development Committee at different business units to ensure that policy and operational plan are implemented effectively.

Next Step of Sustainable Management

     To expand businesses toward international level, SCG has set up a vision to become sustainable business leader in ASEAN. At present, SCG has production bases in other countries at 9%. SCG determines a guideline on sustainable business development toward ASEAN by extending process or good practice from Thailand to other countries to create fast development and exchange learning process, starting from safety aspect. Safety is considered as materiality for the corporate. It enhances morale and mental support of employees, contractors at work and communities around plants. SCG will start collecting information on significant safety and environment as evidence of performance and analyzing improvement guideline in 2015.

     To implement management effectively, it requires adoption of standard systems abroad, including SPAP and EPAP that leverage effectiveness throughout corporate, under international standard. Appropriate targets complying with each area are then set up.

     In employee aspect, employees, who have responsibility to drive operations, must be acknowledged with awareness on sustainable development at work and daily awareness on sustainability. Such awareness must be added into work life by various approaches, including training and engagement. The learning process is adapted toward practice-based process that has teams and supervisors to support effective and sustainable learning.

     SCG became a member of The World Business Council for Sustainable Development (WBCSD) in 2000. According to Vision 2050 which WBCSD has determined as business conducting guideline for members, it helps building cooperation between members to create the greatest change at global level by 2050. At present, Action 2020 is prepared in progress, leading to Vision 2050 which SCG has followed up to improve strategy, plan and review external target.