Occupational Health & Safety
Occupational Health, Safety and Security are the most important aspects of the petroleum business and its stakeholders, particularly employees, suppliers/contractors, and communities and society. Because of this, Bangchak has set in place a Safety, Security, Occupational Health, Environment, and Energy (SHEE) Policy which requires employees and contractors to perform safety duties and responsibilities for themselves and their colleagues in compliance with safety regulations and standards. For safety management, the company has SHEE management structure and safety management system - ISO 45001.
Relationship Management and Customer Responsibility
The company has both proactive and reactive relationship management with various customer groups, as per our Marketing Business Group Strategy on Customer Focused and Customer Centric. It means responding to the needs of customers whether End Users, Service Station Dealers, Service Station Dealers operated by Cooperative (CO-OP) as well as Industrial Group Customers to develop a strong sense of loyalty between the company and the customers. The aim is to be the Most Admired Brand to enhance customer experience through product quality, service stations and service operations while increasing work process efficiency.
Human Rights Due Diligence
The company aligns with the UN Global Compact, Universal Declaration of Human Right (UDHR), and United Nation Guiding Principles on Business and Human Rights (UNGP) in fulfilling its business responsibility to comply with human rights. The company set a framework on this by setting guidelines for the Board of Directors, management executives and employees at all levels, for the compliance of everyone.
In the year 2019, the company assessed all human rights risks using a checklist of human rights impact assessment in accordance with the Human Rights Due Diligence (HRDD) process. It covered refinery and oil trading business, marketing business, and suppliers 100% in Thailand.
Risk Assessment on Human Rights
| Employees | Contractors & Tier 1 Suppliers | Subsidiaries | |
|---|---|---|---|
| ร้อยละที่ได้รับการประเมินความเสี่ยง 3 ปีล่าสุด | 100% | 100% | 100% |
| Percentage of cases with identified risks | 0% | 0% | 0% |
| Percentage of risk identified with measures to reduce impact | 0% | 0% | 0% |
Collective Bargaining
The company provides an opportunity for communication between executives and employees in collective bargaining of employee benefits through Labor Union of the company that has been registered legally. At present, the Union has members who are the company's employees in 50.4% of the the total employees. The meeting with management is regularly held, reflecting the company's good will in supporting the rights to work which is in consistent with Universal Declaration of Human Rights (UNGP). Labor Union has the right to appoint an employee committee (currently there are a total of 13 people) in order to develop the welfare and benefits of employees together with management representatives. This allows employees to receive welfare that meets their needs and expectations appropriately. The consultation meetings happen every quarter per legal requirement. In the year 2019, not only in considering the bonus for all employees, the company decided to increase the allowances for operational staff in order to support a better quality of life.
Employee Stewardship
Bangchak realizes the rapid changes of global situations associated with the economy, environment and society as well as the changes in technology, that brings in impacts to the business. So, it determined to stand strong on the stewardship and development of employees, as it is believed that these are the most important human capital of the company, and can be developed to drive the organization according to the I AM BCP core values. The company also emphasizes the importance of employee retention, talent attraction and retention as well as career development and career path, with the following frameworks, goals and operations:
Employee Stewardship by the BEST Employer Framework
Agility
- Focusing on a collaborative team capable in handling differences.
- Be prepared and flexible to change
Engaging Leadership
- Leadership development
Talent Focus
- Compensation management and employee retention
- Employee development
- Building good image
Employee Engagement
- Promoting employee engagement
Human Capital Return on Investment - HC ROI
Positive Business Impact from Employee Development Program
| Employee development programs | Benefits to business | Quantitative impact of business benefits | % of FTEs that participated in the programs |
|---|---|---|---|
| Strategic Sourcing | Improve procurement practices, cost savings and excessive procurement time reduction | 92 million THB / year | 1.99% |
| Process improvement of oil approval process at oil floating storage in place of onshore transport at Sichang depot | Reduce shipping cost and oil pipeline onshore rental | 30 million THB / year | 10.58% |
| Improvement of the Bangchak Depot Fleet Management | Reduce the transportation cost to dealers | 16 million THB / year | 15.58% |
| Process improvement of High Margin Product Transportation in the Southern region project | Reduce the transportation cost to dealers | 24 million THB / year | 8.08% |
| Improve procurement processes of main equipment in service stations | Reduce procurement costs of oil dispensers and underground storage tank | 23 million THB / year | 22.40% |
| Target | 5.9% | 4.79% | N/A |
| BCP | 4.00% | 3.55% | 5.63% |
| Year | 2017 | 2018 | 2019 |
The proportion of remuneration per employee (female to male)
Performance on Recruitment Targets in 2019
| Target | 2016 | 2017 | 2018 | 2019 |
|---|---|---|---|---|
| Employees (person) | 1,196 persons | 1,240 persons | 1,254 persons | 1,251 persons |
| The ratio of successful employment as planned (Target) |
89.50% (85%) |
91.80% (85%) |
94.44% (85%) |
90.72% (85%) |
| Employment of the disabled / handicap (Target) |
- - |
6 persons (13 persons) |
13 persons (13 persons) |
13 persons (13 persons) |
Participation in Social and Community Development
Social development is part of Bangchak's business management. It is stated in the corporate and employee culture which is to engage in social development for sustainability.
Community
Population estimate
10 communities in Bang Na / Phra Khanong
1 military flats
1 Bang Nam Phueng
Subdistrict,
Phra Pradaeng District
17,885 people
Participants of activity
28,594 people
55.58%
Development Budget
59.77%
Donation Budget 12.89%
Family
Population estimate
5,098 households that are members of “Leaf Family”
5,098 people
Participants of activity
5,954 people
11.57%
Development Budget
5.02%
School
Population estimate
19 schools in Bang Na District, Phra Khanong and Bang Nam Phueng sub-district
14,363
people
Participants of activity
15,117 people
29.38%
Development Budget
13.19%
Donation Budget 5.72%
Condos
Population estimate
8 projects around the refinery
4,817 people
Participants of activity
1,780 people
3.46%
Development Budget
3.41%
Social investment 22.72 million baht
*Percentage of all people participating in community relations activities from all groups in 2019 = 51,445 persons
Results of Community Work (percentage)
Summary of Analysis on Social Return to “Pan Sook” farmers in Kok Toom Area
250,135 THB
750,770 THB
Summary of the Analysis on the Social Return from the Buying Used Cooking Oil Project
575,833 THB
283,831 THB
