Business Value Chain
CH. Karnchang undertakes a strategic evaluation of its business value chain, mapping key stakeholder relationships across its operational ecosystem, from upstream procurement to downstream distribution. The company remains committed to driving sustainable value creation in its products and services, ensuring alignment with stakeholder expectations across all sectors
The company’s value chain consists of five core activities: strategic partner selection and sustainable procurement of construction materials, engineering design and construction, construction execution, project handover, and post-construction management.
| Main Activities | Selection of Partners and Procurement of Construction Materials | Selection of Partners and Procurement of Construction Materials | Project Construction Implementation | Construction Project Handover | Post-Construction Management |
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Description  |
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Supporting Activities  |
Organizational Infrastructure Management | ||||
| Human Resource Management | |||||
| Purchasing and Procurement | |||||
| Implementation of Technology | |||||
Stakeholder Analysis in the Business Value Chain
CH. Karnchang prioritizes fair and equitable engagement with all stakeholders. To ensure this, the company conducts an analysis to identify key stakeholders across its value chain through an organizational assessment process. This evaluation considers factors such as legal rights, contractual agreements, and the safeguarding of fundamental rights. CH. Karnchang recognizes that fostering strong stakeholder relationships and collaboration is essential for long-term stability and sustainable growth.
The analysis has identified eight key stakeholder groups :
1) Shareholders
2) Employees
3) Customers
4) Suppliers
5) Media
6) Community
7) Government agencies and
8) Competitors
Among these, the three most critical stakeholder groups that will require active engagement with the company in 2024 are: 1) Government agencies 2) Customers 3) Suppliers
Relevance of Stakeholders in the Business Value Chain to the Organization's Sustainability Issues
CH. Karnchang recognizes the critical role of all stakeholder groups throughout its business value chain in driving success and long-term sustainability.
To ensure effective engagement, the company has identified and prioritized key sustainability issues relevant to each stakeholder group. This process informs the development of appropriate strategies and management approaches, allowing the company to proactively address business risks and opportunities. By fostering collaboration and shared value creation, CH. Karnchang aims to build a resilient and sustainable future for both the organization and its stakeholders.
| Key issues for the year 2024 | Stakeholders | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Shareholder | Employees | Customer | Supplier | Media | Community | Government agencies | Competitors | ||
| Material Topics | |||||||||
| Energy management and climate change adaptation | |||||||||
| Good corporate governance | |||||||||
| Occupational Health and Safety | |||||||||
| Environmental Management | |||||||||
| Human resource management | |||||||||
| Product Safety and Quality* | |||||||||
| Community and social engagement | |||||||||
| Non-Material Topics | |||||||||
| Sustainable supply chain management | |||||||||
| Human rights | |||||||||
| Risk management | |||||||||
| Biodiversity | |||||||||
| Customer relationship management | |||||||||
CH. Karnchang has assessed stakeholder expectations regarding the company's business operations and outlined how it addresses the needs of each stakeholder group. Additionally, the company has summarized its stakeholder engagement methods and its approach to stakeholder relations for 2024, as detailed below.
CH. Karnchang's Stakeholder Engagement and Practices
Stakeholders
- Government Project Owners
- Public Private Project Owners
- CH. Karnchang Group Companies
Stakeholders' Expectations and Concerns
- Ensure occupational health and safety management in operations and implement measures to control environmental impacts.
- Maintain a workforce with sufficient efficiency and resources for operations.
- Equip with adequate and efficient tools, machinery, and equipment for operations.
- Equip with adequate and efficient tools, machinery, and equipment for operations.
Approach to Stakeholder Engagement
- Manage engineering operations with a focus on cost efficiency, delivering high-quality work that meets standards and deadlines.
- Develop and implement a strict and effective occupational health and safety management plan, regularly assessing operational risks and promoting training to raise awareness of safety and occupational health among employees and partners.
- Provide training and skill development for employees, conduct performance evaluations to enhance efficiency, and ensure compliance with design specifications, bidding requirements, and contracts.
- Utilize safe, efficient machinery, tools, and equipment.
- Employ a team with expertise and experience in construction operations.
- Establish a structured project management system to keep information up-to-date while maintaining accurate and comprehensive technical and cost data.
- Improve work processes to minimize environmental impact by adopting eco-friendly technologies and methods while consistently assessing and reporting environmental effects.
Channels for Engagement
- Report documents and evidence as required.
- Meetings with project owners.
- Organize training sessions, volunteer activities, or other joint events.
- Telephone.
- Website.
- Email.
- Letter.
Stakeholders
- Shareholders
Stakeholders' Expectations and Concerns
- Compliance with laws in a lawful, transparent, and auditable manner, with good corporate governance.
- Equal treatment of all shareholders, investors, and analysts.
- The company maintains strong financial performance and stability, achieving its set goals while ensuring fair allocation of legal entitlements, such as equitable dividend payments and the provision of accurate and complete information.
Approach to Stakeholder Engagement
- Comply with laws, regulations, and enforcement measures to ensure that the treatment of shareholders, investors, and analysts aligns with good corporate governance principles.
- Provide information equally, ensuring accuracy, completeness, clarity, efficiency, and timeliness.
- Establish clear and transparent guidelines or policies for benefit allocation.
Channels for Engagement
- Annual General Meeting (AGM)
- Analyst Meeting
- Roadshow, Conference Meeting, and Company Visit
- Participation in events organized by the Stock Exchange of Thailand (SET)
- Annual Information Disclosure/Annual Report (56-1 One Report)
- Sustainability Development Report (SD Report)
- Company Performance Summary Document (Company Presentation)
- Telephone
- Conference Call
- Video Conference
- Newspapers and Public Relations Media
- Website: www.ch-karnchang.co.th
- Email : ck-ir@ckplc.com
Stakeholders
- Employees
Stakeholders' Expectations and Concerns
- Ensured occupational health and safety management in operations.
- Receive fair compensation and benefits.
- Employees have equal rights and opportunities.
- Career advancement, job security, and workplace safety are provided, along with continuous skill and knowledge development.
Approach to Stakeholder Engagement
- Effectively implement occupational health and safety measures.
- Provide fair and appropriate compensation.
- Comply with labor laws while considering human rights principles and employee needs, offering a grievance channel for cases of unfair treatment.
- Prioritize employee capacity development with performance evaluation plans and participatory career advancement goals.
Channels for Engagement
- Executive meetings with employees
- Training and seminar activities
- Circular letters
- Notice boards
- Briefings through supervisors
- Notifications via Microsoft Teams
- Activities for sharing opinions on various topics, such as safety, sustainability, and recreational events
Stakeholders
- Suppliers
Stakeholders' Expectations and Concerns
- Make full and timely payments for goods and services as agreed.
- Maintain continuous use of suppliers' and subcontractors' products and services.
Approach to Stakeholder Engagement
- Treat all suppliers fairly and equally, ensuring a transparent and auditable bidding process.
- Communicate suppliers performance evaluations appropriately and encourage partners to prioritize sustainability.
Channels for Engagement
- Report purchase/order contract documents
- Organize meetings with contractors and suppliers
- Conduct training sessions, volunteer activities, or other joint events
- Telephone
Stakeholders
- Media
Stakeholders' Expectations and Concerns
- Receive clear, relevant, and accurate information from the company.
- Obtain information equally, on par with other stakeholder groups.
Approach to Stakeholder Engagement
- Communicate information effectively, ensuring it is useful, fast, accurate, and timely.
- Treat all media groups equally, just as other stakeholder groups.
Channels for Engagement
- Publish organizational news through press releases, articles, and reports.
- Conduct interviews and meetings with executives for opinion exchanges.
- Telephone
Stakeholders
- Community
Stakeholders' Expectations and Concerns
- Ensure no adverse impacts from construction activities, including pollution such as air quality, dust, noise, and surface water quality, as well as effects on quality of life and daily living. Prevent accidents and negative consequences from machinery use and the transportation of large equipment.
- Promptly address and resolve any construction-related impacts to restore normal conditions as quickly as possible.
Approach to Stakeholder Engagement
- Conduct construction efficiently with measures to inspect tools, machinery, and potential impacts on the public. Engage with local communities to monitor and address concerns regarding construction activities.
- Resolve issues promptly by gathering community feedback, establishing mutual agreements, supporting preventive measures, fostering understanding, and contributing to community development. Organize community engagement activities to enhance residents' skills and overall quality of life.
Channels for Engagement
- Prepare environmental impact reports
- Community engagement activities
- Complaint filing at the construction project office
- Construction project’s Facebook page
- Telephone contact
- Project office website
- Meetings through supervisors
- Public announcement boards
- Training sessions, volunteer activities, or other joint initiatives
Stakeholders
- Government agencies and Regulators
Stakeholders' Expectations and Concerns
- Comply with laws and regulations correctly
- Follow appropriate procedures and timelines
Approach to Stakeholder Engagement
- Adhere to laws, regulations, and enforcement procedures to ensure accuracy, completeness, clarity, efficiency, and compliance with established protocols.
- Plan operations in advance appropriately.
Channels for Engagement
- Meetings with Government agencies
- Telephone
Stakeholders
- Competitors
Stakeholders' Expectations and Concerns
- Engage with competitors lawfully and ethically. Refrain from damaging the reputation of other companies through false accusations. Avoid accessing confidential information of industry peers through dishonest or illegal means. Do not adopt anti-competitive policies.
Approach to Stakeholder Engagement
- Conduct business within the legal framework with ethics, transparency, and accountability. Ensure compliance with intellectual property rights and avoid any infringement.
Channels for Engagement
- Meetings through the Thai Contractors Association under Royal Patronage and other relevant organizations.
