Reduce Major Accidents from Transportation
Long-Term Target: Reduce major accidents from transportation to zero in 2023
0.05 times per 1 million KM
|0.05 times per 1 million KM
||0.05 times per 1 million KM
||0.05 times per 1 million KM|
0.07 times per 1 million KM
|0.05 times per 1 million KM
||0.04 times per 1 million KM
Supplier Satisfaction in Working with Procurement Functions
| Tier 1 Suppliers
|Critical Tier 1 Suppliers
|Critical Non-Tier 1 Suppliers
In 2018, PTT encouraged supply chain sustainability through supporting national alternative energy policy by managing the Fatty Acid Methyl Ester Biodiesel (B100) inventory to maintain palm oil market stability and minimize impacts on raw material overstock. These could sustainably drive supplier forward with PTT and correspond to PTT Pride and Treasure vision.
PTT has developed the capacity in transportation via support from PTTGC Distillery in transporting jet fuel to U-Ta-Pao Airport. This is in replacement to transportation of fuel tanks from Lum Lookka, Pathumtani. The arrangement helps reduce the cost of transportation and enhance the effectiveness of logistics management. PTT is able to be responsive to requirements downstream. Following the project implementation, the cost of transportation was reduced by approximately 21 million baht per year.
PTT demonstrated its commitment to sustainable materials sourcing in alignment with the public sector’s efforts, by developing a Sustainable Procurement Requirements Manual encompassing 23 procurement classifications. The Manual supports various departments in systematically applying environmental requirements accurately and appropriately, along with disseminating knowledge and understanding on environmentally-friendly procurement to suppliers and employees. This includes organizing seminars for suppliers, communicating examples of environmental requirements and knowledge sharing on different types of eco-labels. As of 2018, PTT has promoted and driven Amazon’s Roasting Plant, which is under a PTT Subsidiary; as well as promoting suppliers to operate in compliance with Green Industry by Department of Industrial Works. The number totals to 10 companies.
PTT prioritizes the efforts to ensure procurement management is transparent, efficient and effective, to foster all stakeholder group’s trust. In 2018, Procurement Management Committee (PTTMC) appoints Procurement Management Audit Committee (PTTPMAC) to monitor and review process relevant to packaging procurement and non-hydrocarbon commercial procurement. The Committee ensure process is fully in compliance with related regulations, laws, rules, criteria and other aligned process. Additionally, PTTPMAC also provided consultation regarding procurement practice for packaging and non-hydrocarbons. This creates opportunity for knowledge exchange within the organization, resulting in collaboration to improve procurement’s effectiveness and maintain standardization. This makes it possible for PTT to achieve the path to become an organization of transparency according to the strategy ‘PTT Pride & Treasure of Thailand.’
PTT and PTT Group companies reviewed and planned employee capacity building programs throughout the year to train procurement staff to respond to organizational changes effectively. In 2018, PTT announced the use of the PTT Group Sustainable Procurement and Supplier Management Policy and Sustainability Performance Assessment Form to procurement staff, relevant departments, and suppliers. PTT further trained procurement officers on skills to effectively and easily use the work system that was recently developed to support organizational procurement process and management. This allows for shorter duration spent, and a more systematic and effortless approach. It also enables employees to work more efficiently and effectively overall.