Sustainability Projects
Supply Chain Management 2024
EGCO Group Supplier Day 2024
EGCO Group recognizes the important role of suppliers to contribute towards sustainable development.
Therefore, the company is committed to creating collaborations that enhance awareness and support the operations of suppliers throughout the value chain. This is achieved through training organized under "EGCO Group Supplier Day", which is a supplier information/training event on EGCO’s supplier ESG program, process, and requirements.
EGCO Group Supplier Day 2024, which has been held continuously for the 7th year, took place on November 20, 2024 at EGCO Tower. The event was organized under the theme "Creating A Sustainable Future," with various topics and activities organized during the event, as follows:
- Good governance organization, a presentation about the principles and approaches to creating organizations with good governance. The aim is to promote transparency and accountability within organizations, particularly in sustainable procurement practices.
- Knowledge sharing on environmental management includes energy use reduction, water resource conservation, and waste reduction.
- Guidelines and standards on labor practice and human rights.
- Awarding Best Practice Company award to suppliers who have received excellent sustainability assessment results.
- Suppliers share experiences on various topics, such as business ethics, treatment of employees, workplace safety, environmental management.
Benefits of the Project
- Increasing awareness and understanding on the importance of sustainable business operations.
- Enhancing suppliers’ understanding and guidelines for effective sustainable operations.
- Reducing environmental, social and governance risks of suppliers throughout the value chain.
Implementation Approach
- Organizing EGCO Group Supplier Day under topics that are important to EGCO Group's business and meeting the needs of suppliers.
- Exchanging experiences among suppliers to drive operations.
- Awarding suppliers with outstanding sustainable operations.
Training for Empowering Sustainable Procurement
EGCO Group strengthened our commitment to responsible sourcing and sustainable business practices.
The company has upgraded the Supply Chain Management (SCM) procedure to include more stringent Environmental, Social, and Governance (ESG) requirements and enhanced safety standards this includes:
- Upgrading Self-Assessment Questionnaire (SAQ) for safety aspect
- Adding ESG requirements to contract
- Implementing a daily inspection checklist for contractors
- Updating evaluation form
This reflects our strategic priority to foster ethical and sustainable procurement across all tiers of our supply chain. To embed these changes, EGCO Group conducted training for company’s buyers and other internal stakeholders on their roles directly involved in daily procurement of supplier ESG programs. These tailored sessions are crucial by focusing on the individuals whose daily actions directly influence the supply chain, EGCO Group aims to integrate ESG and safety considerations into every aspect of our procurement operations, driving meaningful change.
Benefits of the Project
- Enhancing procurement decisions for better ESG and safety risk mitigation.
- Embedding ESG principles into daily operations for consistent, measurable sustainability.
Implementation Approach
- Organizing in-person training and a workshop on the updated SCM procedure for company buyers involved in daily operations.
Supplier Assessment and Technical Support Programs
EGCO Group promotes sustainable supply chain through various initiatives.
One key effort is the Supplier Assessment Program, which highlights the importance of sustainable practices. This program helps EGCO Group identify significant suppliers and those with potential environmental, social, and governance (ESG) risks. To support the suppliers, EGCO Group offers in-depth technical support programs to build capacity and ESG performance in suppliers.
These programs cover a range of topics, empowering suppliers to align with EGCO Group's code of conduct and sustainability requirements, ultimately enhancing their overall performance.
This includes:
- Works with High Risks
- Working at height
- Confined space
- Hot work
- Electrical work
- Ergonomic at Work
- Office work ergonomic
- Onsite work ergonomic
- Workforce Practices
- Fair labor practices (Legal requirements)
- Prohibition of child labor
- Living wages
Upon assessment completion, suppliers will be provided with their individual results and access to information on ESG benchmarks against peers. This insight data will help them to recognize their position comparing to others and address areas for sustainable development, reflecting EGCO Group’s dedication to driving sustainability across it entire the supply chain.
Benefits of the Project
- Identifying significant suppliers with identified ESG risks.
- Providing suppliers with mitigation actions to improve their performance.
- Ensuring suppliers improve their practices to align with sustainability requirements.
Implementation Approach
- Conducting supplier assessment via desktop and onsite assessment.
- Providing industry-specific best practices and mitigation actions for sustainable operation.
- Monitoring the progress of mitigation actions for suppliers with identified ESG risks.