The power and steam production process considering the supply chain management according to the concept of Green Energy. With social responsibility and participation in the benefits of the community society and the environment as well as the production process by starting to set up research and development projects to produce products for customers and consumers.

Revenue
Million THB
Number of suppliers / subcontractors / contractors / service providers
announced their intention to join the anti-corruption policy
Total
Acting on corporate governance be rated “Excellent”
Get a rating on the level
the Year 2021

Supply Chain Management for Sustainability

Supply Chain Management Policy

By establishing guidelines for dealing with trading partners that will lead to the development of product / service quality and mutual sustainable relationship management. The company believes that it can lead to the development of potential Building a competitive advantage. As well as can be able to manage the risks in the business operation of both the Company and its trading partners for a long term sustainable.

Good practices for trading partners

Business Ethics Policy and Guidelines for Sahacogen Business Partners

  1. Operate procurement with transparency. Strictly comply with trade partner selection regulations and treat stakeholders equally based on fair competition, equality, and mutual respect. Correct, clear, complete, verifiable in the supply chain where the business is legal Comply with occupational safety and health standards Environment friendly.
  2. Do not use confidentiality or information about trading partners for your own benefit. Or the wrong person involved.
  3. Build relationships and understanding with each other. Exchange of knowledge for development the products and services for mutual growth.
  4. Compliance with trade agreements and providing accurate information, in case that not possible to practice, negotiate with trade partners or work together to come up with a solution and prevent a mistake.
  5. Procurement about the quality and safety of products and services which may affect the health of employees, communities, society, and environment.
  6. Not seeking benefits, not asking, receiving, or agreeing to receive property or any other benefit from procurement. Which is beyond the commercial terms

Green Procurement

Sahacegen has created a green procurement guide to implement in the procurement process. This is part of the supply chain management policy aimed at minimizing the impact on the environment. Focus on the selection of environmentally friendly by we have developed good practices for business partners to help manage environmental risks, Social and corporate governance (ESG). As well as increase and develop partners' potential. Specially to support new government laws that may lack understanding until the procurement is delayed. Therefore, it is important to drive the Sahacogen business to smooth and achieve organizational objectives.

In 2022, We have developed the following standards, regulations and internal processes related to risk management in the supply chain.

  • Follow the Sahacogen Supplier Code of Conduct, which will drive Sahacogen's partners to be aware of social and environmental responsibility. Encourage partners to develop operational processes that about the human rights, Fair labor practices not using forced labor, rights of children, Safety and Occupational Health Management.
  • Follow the supplier audit manual for environmental, social and good governance. To raise awareness for partners to follow Sustainable practice and reduce the risk of ESG that may occur throughout the supply chain.
  • Supplier selection and evaluation process using the appraisal form for new vendors/contractors weighting quality and price to select partners. To get quality partners with reasonable prices according to transparent and verifiable procurement procedures.

Partner Selection

Partner capability, capacity, standard system, services, transportation, safety, occupational health Including business partners that are responsive to society and environment By using questionnaires for initial assessment and conducting audits to ensure that the selected partners have sufficient potential and reliable.

Management of partners

By using ethier high value procurement criteria or a significant partner that may have an impact on the manufacturing process or a trading partner with a small number of merchandise and services risk consideration and supplier risk management. Including communication and business visits of business partners in appropriate in order to formulate strategies and development of cooperation for the further.

Assessing partner risks

Purchasing risk analysis based on suppliers with high purchasing value or partners with key production factors which may affect delivery to customers. Therefore, need to assess the risk in any situation that can happen and make a plan to support to ensure that the risk can be managed in a level that does not affect customers and businesses. Making a risk management plan by trading partners. The partners have to assess the risks of their own business operations on topics that have the opportunity to arise and lay out a guideline for response in order to avoid any impact on business operations between each other.

Supplier Evaluation

Establish the partner management measures, including audits to ensure traders comply with the equirements. According to international standards, capability of the distributor to maintaining quality of products and services such as the environmental, social, and business operations (ESG On-site Audit), Key Supplier Site Visit, for suppliers to comply with Code of Business Ethics.

Supplier Evaluation Results 2022
Assessment Topics Suppliers who pass the assessment criteria (From 145 suppliers)
Partner New Partner Total Percentage
1. Integrity/Transparency/Responsibility
  • No history of any form of corruption.
137 8 145 100%
  • No history of job abandonment.
137 8 145 100%
2. Management and environmental responsibility
  • Certified environmental standards or comply with environmental requirements (ISO 14001/EIA)
1 1 2 100%
  • Compliance with environmental laws or regulations and procedures for managing environmental impacts.
1 1 2 100%
3. Labor and Social Responsibility
  • No child labor or illegal foreign labor.
137 8 145 100%
  • Respecting the human rights of workers, does not violate basic human rights.
137 8 145 100%
  • Business operations that show social responsibility, does not affect surrounding communities.
137 8 145 100%
4. Conflicts of interest
  • Executives/Directors have no positions in companies offering competitive prices.
0 0 0 0

Partner Development Guidelines

  • Providing customer information such as product expectations, standards, quality criteria.
  • Providing knowledge on production processes and technology for joint product development
  • Development of business partners to aim for (Green Procurement) that is in line with the needs of customers and consumers in the future.
  • Partner development in operating in accordance with business ethics.
  • Development of secondary partners for the opportunity to become more important trading partners.
Code of Conduct and Business Ethics

We committed to the code of conduct in conducting business with partners. By complying with Thai labor standards and anti corruption. In this regard, we expanded the network of partners to sign the letter for commitment in business ethics as follows

Number of suppliers / subcontractors / contractors / service providers announced their intention to join the anti-corruption policy
Number of suppliers / subcontractors / contractors / service providers announced their intention to join the Quality, Environment, Safety and Energy Policy
Year 2022
There have been no complaints and no disputes with our business partners

Customer Relationship Management

Year 2022

Methods/Forms

  • Meeting

Customers/Stakeholders

  • Management level of EGAT.
  • Management level of customers in the industry
  • Operation level of EGAT.
  • Operating level of customers in the industry

Frequency

  • 1-2 times a year (depending on the issues that arise each year)
  • Every 3 months or as EGAT makes an appointment for a meeting

Key Issues/Targets

  • Discuss issues in the power purchase agreement, ways to work together and build good relationships with customers.
  • Discuss contract issues, ways to work together and build good relationships with customers.

Methods/Forms

  • Meeting

Customers/Stakeholders

  • Management level of EGAT.
  • Management level of customers in the industry
  • Operation level of EGAT.
  • Operating level of customers in the industry

Frequency

  • 1-2 times a year (depending on the issues that arise each year)
  • Every 3 months or as EGAT makes an appointment for a meeting

Key Issues/Targets

  • Discuss issues in the power purchase agreement, ways to work together and build good relationships with customers.
  • Discuss contract issues, ways to work together and build good relationships with customers.

Methods/Forms

  • Meeting

Customers/Stakeholders

  • Management level of EGAT.
  • Management level of customers in the industry
  • Operation level of EGAT.
  • Operating level of customers in the industry

Frequency

  • 1-2 times a year (depending on the issues that arise each year)
  • Every 3 months or as EGAT makes an appointment for a meeting

Key Issues/Targets

  • Discuss issues in the power purchase agreement, ways to work together and build good relationships with customers.
  • Discuss contract issues, ways to work together and build good relationships with customers.

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