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Social Responsibility

Management Approach

I. Policy
The Board set directions and policies concerning social responsibilities, while having Corporate Social Responsibility (CSR) strategic campaigns included in IRPC’s five-year strategy. An emphasis is placed on value co-creation between IRPC and stakeholders, which is respected as guidelines for the management and staff as well as subsidiaries in doing their CSR work. The guidelines can be summarized as follows:
  • Basing business conduct on corporate governance with a focus on integrity, fairness, transparency, and accountability, taking into account the benefit for stakeholders as well as fair treatment for all stakeholders.
  • Conducting the business with fairness, avoiding any action that may trigger conflicts of interest, while promoting free trade without infringement on intellectual property or copyright. IRPC promotes anti-corruption and anti-graft by establishing an efficient whistleblowing process together with anti-corruption risk assessment, under which risks from doing CSR projects are included.
  • Respecting the internationally accepted human rights principle, the foundation for human resource development as well as treatment for customers and business partners.
  • Taking responsibilities for consumers through control, development, and improvement of safety standards of products and services. IRPC provides accurate and sufficient information for consumers. However, it keeps consumers’ data confidential, except with prior permission from the consumer to disclose such information.
  • Engaging in social and community development. Examinations, corrections, and improvements are encouraged to prevent the business or projects from producing negative impacts, directly or indirectly, on communities and society. Support is also given to projects or activities intended for the benefit of society or the environment by making use of skills, knowledge, and resources within the organization.
  • Taking care of the environment through appropriate environmental management with regular monitoring and assessment. Promotion is given to efficient use of resources with standard energy-saving method, reuse of resources, development of products and services without environmental impacts but are safe for use. Emergency response is prepared for dealing with potential environmental problems.
  • Doing an innovative business that can not only provide benefit, while raising competitiveness and value for IRPC, but can also benefit target groups, such as innovation in plastic products with anti-bacterial agents, which are good for consumers’ hygiene.
  • Making social and environmental reports under internationally accepted formats, and disclosing information regarding society and the environment to all stakeholders. IRPC assigns leaders of all business groups to give cooperation and encourage staff to drive this policy to success.
II. Management System/Process
Guided by CSR Strategy, IRPC’s Corporate citizenship and philanthropic activities focuses on various matters, for example, local economy development, health and safety of the community. All these matters have been thoroughly analyzed and defined as materiality for IRPC, which need to be addressed. Each matter is prioritized based on the importance and urgency, which would be used as guidance for corporate citizenship and philanthropic activities. The policy is introduced to promote the concept of CSR as a guideline for the organization and organization groups.

Engaging in community and society development
IRPC new vision to be a leading Eco Industrial Company has led to a process development according to Eco Industrial Concept.

Corporate citizenship and philanthropic activities are guided by the CSR strategy, which focuses on various matters, for example, local economy development, health and safety of the community. All these matters have been thoroughly analyzed and defined as materiality for IRPC, which need to be addressed. Each matter is prioritized based on the importance and urgency, which would be used as guidance for corporate citizenship and philanthropic activities. IRPC categorizes CSR programs into 3 themes; include building sustainable environment, improving education and strengthening community. IRPC develops its CSR initiatives in alignment with UN Sustainable Development Goals (UN SDGs) and Business Drivers in order to leverage the strength of its business and society.

IRPC has led CSR projects and strengthen community relations in 2017 through prioritizing educational developments, livelihood enhancement, product development for the health and safety of our customers and environmental development. Description of our projects and alignment with SDGs and business goals are as follows:

Topic SDG Alignment Alignment with
Business, Social,
and Environmental Targets
Examples of Selected CSR Projects
Educational developments IRPC values the importance of a good education, and has supported educational development projects to create quality individuals for the country. KVIS & VISTEC IRPC has joined with PTT group to promote research and development in science and technology which allowing competitiveness in human capability of Thailand’s workforce and providing opportunity for local students in education. IRPC and PTT Group support to establish Kamnoetvidya Science Academy (KVIS) for talented students in science and math. Vidyasirimedhi Institute of Science and Technology (VISTEC) is a higher education institute that offers Science and Technology degrees. Both educational institutes locate in Rayong Province.
Social benefit:
  • Better education to locals
  • High capability workforce for communities
Business benefit:
  • Number of open innovation that increases from collaboration and support through KVIS and VISTEC project
  • Cost reduction in research and development by using shared resources with the schools
Academic Scholarships IRPC supports educational attainment for students from distant communities to ensure that quality education is attainable even for children living in rural areas. It is our hope that these children will apply what they learn to lead development in their communities as well. IRPC awards academic scholarships for primary school students, secondary school students, and university students. IRPC has allocated 3 scholarships per village. 2017 marks the 9th year that IRPC has been distributing academic scholarships.

Social Benefit:
  • Provide better education to local students
  • Distributed financial 310 scholarships for low income students with outstanding academic performance
Business Benefit:
  • Improvement in Corporate reputation score of 92.9 from 87.49 in aspect of social responsibility reference Community Sat PDF P.57
Livelihood Enhancement IRPC collaborates with various agencies to organize projects to enhance community livelihoods. IRPC upholds the principles of the Philosophy of Sufficiency Economy (PSE) in all our projects. Lam Sai Yong Model IRPC is determined to drive sustainable management of water resources to support the economic activities of the local community. In 2017, IRPC has set up a piping system that covers 1.2 km at the Don Jone Forest Reservoir at Nong Yang Village, Lam Sai Yong District, Nang Rong Area, Buriram Province. This piping system is made from HDPE plastics and a solar-powered pump, and will significantly improve water storage capacities. During flooding season, floodwater will be piped to the Don Jone Forest Reservoir for storage. Additionally, IRPC has planned to use this project as a model to be replicated for the development of water management in other agricultural areas, especially in the Northeast where communities often face water scarcity and issues in water storage.

Social Benefit:
  • Securing the water supply for community use – including both household use and agricultural use – with an increase from 3 communities to 10 communities
Business Benefit:
  • Improvement of employee skills, 25 employees participating in programs are able to exercise engineering and flood management skills.
  • Cost saving from tax exemption of 2.8 Million THB due to contribution was made thru foundation, which is equivalent to investment budget
  • Social Return on Investment is 47.05 THB
Community Health Funds for Areas Surrounding the Operation IRPC has supported the health and growth of communities in Rayong Province through initiating a variety of health projects and funds in different communities. In 2017, these projects totaled 6 million THB and included:

Social Benefit:
  • 6,018 people received health care services from ‘Pan Num Jai’ Clinic and mobile units
  • 21 programs to improve community health through health funds
Business Benefit:
  • Improvement in Corporate reputation score of 92.9 from 87.49 in aspect of social responsibility reference Community Sat PDF P.57
Product development for the health and safety of customers IRPC is determined to develop its products and services to be environmentally friendly and to increase health and safety for the betterment of customers’ livelihoods. Prosthetic legs IRPC has organized a project to create prosthetic legs under the Royal project, and has donated plastic to the Prostheses Foundation of HRH the Princess Mother in order to support the livelihoods of the disabled.

Business Benefit:
  • Product development from feedbacks of patients. Better quality of PP plastic includes greater durability, transparent property, and anti-bacteria feature.
  • Cost saving is total to 1 Million THB from tax refund on supporting CSR project, which is equivalent to the total investment budget of this project
  • Social Return on Investment is 6.66 THB
Social Benefit:
  • Number of patients receiving prostheses from the program. In 2017, IRPC donated 20-25 tons of PP Block Copolymer plastic. IRPC has also collaborated with the Foundation to set up equipment, facilities, and production of prosthetic legs for patients in the 2nd Thailand Design Expo of 2017. IRPC were able to assist 46 patients and produce 51 prosthetic legs.
Sustainable Environmental Development IRPC collaborates with government agencies to achieve sustainable environmental development.
  • IRPC Eco-Industrial Zone IRPC is determined to move towards being an eco-industrial zone. As of the present, 24 of IRPC’s factories have been approved as eco-factories by the Institute of Environmental Industry of the Federation of Thai Industries. For the future, IRPC has planned to enhance its operations to become an IRPC EIZ (Environmental Improvement Zone) that lives harmoniously with the community and contribute to the health, well-being, and economy of community members. IRPC is aspired to achieve sustainable growth alongside our communities, and eventually become an Eco Industrial Town alongside the government.
  • Environmental Benefit:
    • Minimize negative impacts to community and environment i.e. air, waste, wastewater as well as energy
    Business Benefit:
    • 3,600 ton CO2 equivalent per year absorption in Rayong as a result of planted trees
    • 24 Certified factories
    • Quota for new factory in Map Ta Phut Industrial Estate where IRPC is located upon reduction in existing air emission rate is achieved.
    Restoration, Conservation, and Protection of Mangrove Forests as learning sites for Rayong resident Our Polystyrene Factory (PS) has organized the project “Restoration, Conservation, and Protection of Mangrove Forests as learning sites for Rayong residents” through using plastic remains from eco-friendly products to create a sand platform for a viewing area. Visitors will be able to observe fish nurseries and other aspects of the mangrove forests. This project covers 63 rais and IRPC has planted

    Environmental Benefit:
    • Tree plantation covering 2-km buffer zone.
    • Growth of biodiversity in the area through constructing “crab condos” in 11 areas, which have led to the regeneration of mud crabs, shellfish, and sesarma. In each crab condo, these species can grow to approximately 100,000 individuals.
    Business Benefit:
    • Improvement in Corporate reputation score of 91.79 from 87.67 in aspect of environmental responsibility reference Community Sat PDF P.57
    For more information, please visit:
    • Sustainability Report 2017, Community Well-being Section, page 86-94
      (http://www.irpc.co.th/en/pdf/SD-Report-2017-en.pdf)
    • Annual Report 2017, Major Corporation Social Responsibility Projects 2017 Section, page 192-204
      (http://www.irpc.co.th/th/pdf/Annual-Report-Annual-Report-2017-en.pdf )
    Internal reference
    • Community Satisfaction score

    1. Eco Industrial Concept

    IRPC new vision to be a leading Eco Industrial Company has led to a process development according to Eco Industrial Concept. IRPC has been chosen to be one of five models of Eco Industrial Concept practicing by the Department of Industrial Work. “IRPC and the Eco Industrial Concept Plans” (IRPC-EIZ) proposes to educate the concerning people to the essential of becoming Eco Industrial Zone by utilizing the maximize usage on limited amount of natural resources, the waste reduction and pollution. The new eco-friendly technology is designed to higher the industrial management standard to reach the global standard.

    2. CSR in Process

    The organization enhances the CSR according to UN Global Compact. The CSR-is-Process become the guideline for practicing Corporate Social Responsibility. Developing and improving the production is invested to increase the production, also to be responsible to the society and the environment. The major project is Upstream Project for Hygiene and Value Add Products (UHV). The investment costs 39,600 million bahts. This project adds more value to heavy oils and decreases the sulfur dioxide since the heavy oils is no longer needed in industrial productions for other industrial factories. The project is considered uppermost value add. Muang Rayong combined Heat and Power Project costs 13,400 million baht. The project is to generate stream power, and electric power by using the natural gas with the Dry Low Nox Burner technology which complete the combustion process. The exhaust contains low polluted air.

    3. Social Development Annually social development projects according to “Happy Rayong”

    1. Annual Community Scholarship
    2. IRPC holds religious event of presenting robes to monks at the end of Buddhist Lent IRPC has developed a tradition to annually hold religious ceremonies at temples around its plants to strengthen the relationships between community, government organizations and private organizations.
    3. Establish “Vidyasirimedhi Institute”- Rayong Advanced Institute of Science and Technology Project. Establish Kamnoetwit Science Academy. IRPC and PTT have joined to establish science and technology institute, aimed to become excellent institute of science research which will be open in 2015.
    4. IRPC Technological (IRPCT) College - IRPC and PTT Group have come to an agreement to provide curriculums comprised of theory and practical studies, where students will learn theory in class and apply those into practice in a real working environment at the company in PTT Group. IPRC has initiated the program to improve the skills to be already equipped to work at IRPC and also to address the future needs in the labor market. For more information on IRPCT courses, please visit http://www.irpct.ac.th/ (available in Thai only) or IRPCT’s Value to Society
    5. Strategic Communication To ensure the environmental impact awareness of industrial enterprise to the community and society. The organization has means to communicate with the stakeholders and people through following projects.
      1. Open House is one of means to communicate with the community by letting people to visit and to oversee the process inside the plant to provide knowledge and to ensure the plant’s management and investment. The visitors are students, bureaucrats, leader of community and press.
      2. IRPC’s Community Learning Network Center and IRPC’s Community Relationship Development have provided conference room, shops, community, Clinic Pan Nam Chai, and holidays’ activities.
      3. Communicating with the community is the project that convey message from the organization to the public by publishing travel journal for air plane passengers in order to creating a mutual understanding and advertise the cooperation of youth, the society and the employees. The aim for this project is to realize on practicing community activities is easy. The organization has gained new partners from Prostheses Foundation and expected more new partners to join.