Page 294 - Social Enterprise A New Business Paradigm for Thailand

(5) Charoen Pokphand Group and Its Affiliates

An analysis of sustainability reports published online annually by the Group since 2016 reveals
that, in the early phases of reporting, the Group emphasized performance across three main
areas: economy, society, and environment. The economic aspect included employee benefits,
taxes paid to the government and local authorities, and corporate spending on research and
development. In terms of social value creation, the Group’s work supported the livelihoods and

quality of life of smallholder farmers, small-scale entrepreneurs, and vulnerable groups. It also
extended to education and essential skill development, an area where the Group was especially
active. On the environmental front, initiatives focused on reducing greenhouse gas emissions
and lowering water usage per unit of revenue.

Beginning in 2017, however, the Group revised its reporting approach to reflect a format more
uniquely aligned with its identity. While still addressing the same three core areas, it redefined
its key themes as: “Heart” (committed to doing business with a sustainable heart), “Health”
(committed to building a sustainable society), and “Home” (committed to fostering a
sustainable environment). The Group also began specifying key performance indicators to

illustrate the scope and scale of its work more clearly. As shown in Table 9.13, the average share
of employee benefits from 2017 to 2023 was approximately 7 to 8% of the Group’s total revenue.
Taxes paid to the government and local authorities, as well as spending on social support,
accounted for around 0.9% and 0.4% of total revenue, respectively. According to Table 9.13, the
Group’s social support budget, based on data compiled from its sustainability reports, can be
preliminarily categorized into two main components: (1) budget allocated for community and
social support, and (2) budget allocated as donations to charitable organizations or for social

purposes. Since 2017, the first category has shown a clearly declining trend, while the second
has steadily increased. This preliminary observation, along with the fact that total donation
spending remains below 1% of revenue, suggests that although the Group continues to engage
in social responsibility activities involving charitable giving, such efforts are not its primary focus.
Moreover, donations appear to be directed more toward established institutions than direct
grassroots or community-level support. However, during the years 2020 to 2021, coinciding
with the COVID-19 pandemic, there was a noticeable increase in donations to medical-related
institutions, such as hospitals and the Red Cross. These contributions were significantly higher
than those made to general social causes during that period.

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