ThaiBev Sustainability

Supply Chain Management	Sustainable Supply Chain Management Governance	Procurement Landscape
Supplier Screening	Supplier Assessment	Capacity Building Program in Supply Chain Management

Definition

The process of assessing existing and potential suppliers comprehensively to determine their risk level and room for improvement in order to execute supplier development plan. ThaiBev’s supplier assessment takes several forms: desk assessment, on-site assessment, and assessment based on recognized ESG standards.

Scope

100% of significant suppliers

Output

Significant suppliers with high ESG risks (substantial risks of posing negative ESG impacts in ThaiBev’s supply chain)

ESG Program in Supply Chain Management

100%

Significant suppliers assessed using ESG criteria

Supplier Assessment Methods

Desk Assessment

ThaiBev assesses supplier’s sustainability risk on its online supplier portal, Supplier Life Cycle Management. The assessment comprises governance, environmental, social, and supplier management. The assessment questionnaire is developed with reference to Together for Sustainability (TfS) Initiative.

On-site Assessment

ThaiBev conducts on-site assessment annually. The on-site assessment carried out by internal auditors and a third party. Critical food-contact suppliers that supply products with high complexity or prone to high risk are selected for 3rd party assessment. The assessment includes the criteria on quality, capacity, and ESG. The assessed suppliers with high risks are required to conduct corrective actions or temporarily suspended if major non-compliance issues are found.

Assessment based on Recognized ESG Standards

ThaiBev assesses suppliers based on the evidence of audit carried out by other party in alignment with recognized ESG standard, e.g., SMETA, SAI Platform, etc.

DEFINITION OF SUPPLIERS WITH HIGH ESG RISKS

Suppliers with high ESG risks are suppliers with substantial risks of posing negative ESG impacts in ThaiBev’s supply chain. The suppliers with high ESG risks are identified from supplier assessment processes. The assessment comprises the criteria in alignment with the key ESG issues in supply chain management.
Suppliers assessed with the risk score lower than 50 are suppliers with high ESG risk.

Corporate Sustainability

Environmental Sustainability

Social Sustainability

Supplier Management

Audit & Certification

Carbon Footprint Reduction & Tracking

Water Management

RISK RATING SCALE
Low	Medium	High
>75%	60 – 75%	< 60%


Read More Information about SUPPLY CHAIN MANAGEMENT in Sustainability Report 2023