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2020
HIGHLIGHTS IN 2020: Business Continuity Risk Management during COVID-19

Business Continuity Risk Management
during COVID-19
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Thailand Supply Chain Network (TSCN) Platform
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ThaiBev is aware of health and safety concerns from COVID-19 as well as other emerging risks from the pandemic. ThaiBev has the formalized process to assess and monitor supply availability risks and inventory level on a weekly basis.

Additionally, ThaiBev also works closely with its suppliers particularly critical suppliers and strategic suppliers to ensure that these suppliers have sufficient capacity to supply to ThaiBev under crisis and to ensure business continuity throughout the entire supply chain.
Supply Risk Assessment
ThaiBev has assessed the potential supply disruption risks for critical materials which are used in the spirits, beer, non-alcoholic beverage, and food businesses. The company focused on having sufficient inventory level during the curfew or lockdown and ensured that there is alternative sources available.

69

Critical materials assessed
Assessment Criteria
Location
Map supplier’s operating site with COVID-control zoning
Inventory
The inventory level and management measures during crisis
Delivery
Impact on delivery period (delivery delay, increase in lead time)
Cost Impact
Impact on the goods and service price
Alternative Source
Availability of alternative sources or operating sites
Business Continuity Risk Survey
ThaiBev conducted business continuity risk survey to determine the company’s level of risk exposure particularly among strategic suppliers whose supply volume contribute to the majority of annual procurement spend. ThaiBev strongly encouraged its tier 1 suppliers to have business continuity management plan in place as well as to monitor their own suppliers (ThaiBev’s non-tier 1 suppliers) closely.

>300

Suppliers Surveyed
ThaiBev launched Business Continuity Management survey during the wave 1 of COVID-19 in Thailand

80%

Annual Spend Covered
The suppliers surveyed contribute to the first 80% of highest spending including critical and strategic suppliers
Survey Results
Suppliers with effective business continuity management plan in place and implemented

95%

Tier 1 suppliers

Transport Permit
Suppliers are encourage to request transport permit from authority to supply goods during lockdown or curfew

85%

Non-Tier 1 suppliers

Inventory Level
In addition to the inventory kept at ThaiBev, suppliers are required to maintain the minimum of 30 – 60 days of inventory level
Provision of Support to TSCN & Suppliers
During the first and second waves of COVID-19 in Thailand, ThaiBev also provides medical supply to its local suppliers who have displayed good performance and services throughout the year and offered full cooperation during the time of crisis. This is to express ThaiBev’s gratitude and give recognition to the suppliers whom ThaiBev recognizes as key business partners.

520

Suppliers Supported

52,000

Liters of Disinfectant Alcohol Distributed

>4,700

Bottles of Alcohol Gel Distributed

In addition, ThaiBev has launched the survey among Thailand Supply Chain Network (TSCN) co-founders and their suppliers to extend its support to the wider group. The survey sought to understand the challenges local entrepreneurs were facing during COVID-19 as well as to gain insight to the help and supports they needed.

>800

Survey Participants
ThaiBev surveyed the requirement for support from TSCN co-founders and suppliers to provide any medical supply or other resources for them
Survey Results
The survey ask the respondents what issues are deemed the most significant during COVID-19 crisis in their opinion.
The majority of the respondents picked health-related issues in each topic.
COVID-19 Crisis
Challenges
Health and Safety of employees
77%
Measure to
Relieve COVID-19 Crisis
Ensure employees wellbeing
60%
Business Opportunities after COVID-19 Crisis
Healthy products development
93%