• Message from Chairman
• Vision & Mission for Sustainable Growth
• LPN WAY: Moving the organization towards sustainability
• Outstanding Operation Performance
• Sustainability Awards 2021
• Development Business Strategy Map 2022
• Sustainable Development Goals
• LPN’S GREEN JOURNEY
• COVID-19 and LPN Care
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• About L.P.N.
• Stakeholder Engagement & Materiality Analysis
• About This Report
In 2021, the global economy begins to recover from the pandemic. As a result of vaccination, the coronavirus disease 2019 or COVID-19 pandemic is under control. Trade, export, investment, tourism and supply chain start working. The World Bank reported that global economic growth in 2021 is 4.1% which is better when compared to the 4.3% contraction in 2020. Meanwhile, the Thai economy in 2021 begins to recover because of its 17% export growth and domestic economic stimulus measures including the tourism sector that has begun to allow foreign tourists to enter the country. The National Economic and Social Development Council stated that the Thai economy grows 1.6% after the 6.1% contraction in 2020.
While, in 2021, the real estate sector constantly slows down because of the domestic purchasing power slowdown and the household debts which reach 90%. Under such circumstances, the Company’s management policy is under the sustainable organization concept taking into consideration the 3P - Profit, People and Planet.
Profit: The Company has adjusted the strategies and improved the internal operation process by reducing costs, minimizing working steps and increasing work efficiency. As a result the Company has been able to generate revenue and profits as planned.
People : The Company has emphasized on employees’ healthcare and safety to ensure that the business runs continuously and the operational efficiency is secured. The Company has also helped the society and stakeholders, both customers and trade partners, to overcome the situation together.
Planet : The Company has focused on environment particularly on the quantitative goal setting and revealed the greenhouse gas emission reduction data in order to help solve the Climate Change problem and take part in driving Thailand toward a low carbon society.
Under the above management, in 2021 the Company received Thailand Sustainability Investment Award (THSI) from the Stock Exchange of Thailand for the 6th consecutive year.
LPN is an organization that has consistently focused on sustainable growth for 32 years by the cooperation of all team members. I would like to express my gratitude to the executives, staff members and trade partners who have dedicatedly supported the operation and to all shareholders for your faith and trust.
Every support is the driving force for the Company to develop the best product and service incessantly as it is our determination to build “Livable Home” that creates real pleasure of living for every Thai people and generate sustainable growth to the organization and all stakeholders.
(Amornsuk Noparumpa) Chairman of the Board of Directors
The Board of Directors considers and approves the vision, mission, strategy and business plans of the Company, subsidiary companies and associated companies. The vision of the Company has been revised every three years in order for the Company to achieve sustainable growth targets by taking into account the balance of both quantitative and qualitative rewards for all stakeholders as well as social and environmental responsibilities. The operation of the Company is in accordance with the principles of good governance. A mission statement is developed annually to reflect the changing environments. The organization is driven by the LPN Way which is derived from the extensive experiences in business operation.
“To increase efficiency and effectiveness in term of turnover of real estate development business operation while maintaining balance and responsibility toward stakeholders for sustainable development.”
Shareholders Staff
Turn around organizational performance in order to get out of recession, under the good governance principle and risk management.
Develop staff competency until they are proficient and determine to deliver great contributions utilizing their skills, knowledge and information.
Customers
Create value for money in being an owner by delivering products that are very functional (Functional Benefit) and make them proud to live in (Emotional Benefit).
Business Alliances (LPN Team)
Collaborate and be supportive in every sector of the operation in order to get through the crisis.
Neighboring Communities Residents Construction Workers Environment
Be responsible for the impacts of the operation and promote participation and good relationship.
Residents: Hand over the “Real Pleasure of Living” under “Livable Community” strategy and affordable price to all residents.
Enhance the quality of life, safety and occupational health of the workers by supporting the operation of business alliances and organization of activities.
Operate the business in a responsible manner for all stakeholders in accordance with 6 GREEN LPN concept to achieve sustainable development.
LPN Way comprises two milestone values i.e. “continuous development” and “respect for stakeholders”. The seven components of the values are “C-L-A-S-S-I-C” which is integrated into the operation of the Company and is adhered to by all segments of the Company. It has been developed into the organization values (LPN Values) and LPN Way with an aim to achieve the goal of the operation both in terms of quality and quantity and to drive the Company towards “Sustainable Development”.
The project management which realizes the importance of the careful utilization of resources and the efficiency of project management which focuses on the reduction of direct costs and hidden costs as well as the reduction of extra expenses in all departments without affecting the planned target and quality.
The new way of thinking that is flexible and different without any fear of obstacles in order to improve, change, develop and create new products and services. The implementation and assessment of the new process must be possible. The aim is to add value to the products and services as well as the growth of the organization.
The way of treating long-time and trustworthy business alliances with trust and fairness with the willingness to collaborate and develop the work continuously as if being in the same organization for the achievement of a common goal.
Development
S S I
Speed with Quality Service Minded Integrity Collaboration
The focus on the development of the working and problemsolving process that is quick and attentive to details for the quality of the work and the completion before deadline to be one step ahead of others.
The care for all groups of customers at all times by putting ourselves in their shoes and showing willingness and enthusiasm to provide full services that exceed their expectations in order to add value to services and create good impression.
The action towards the organization and related business partners which is honest, responsible, transparent, fair and ethical at all times.
The sense of collaboration from staff at all levels in the operation or activity of the Company for the achievement of the common goal.
5,598.05
1,587 underprivileged women. The Company helps create jobs for the total of
The Company manages 195 communities.
The total of 5 projects is launched.
177,072 families and 312,604 community members. the total space managed is 9,640,000 sq.m.
• The Company was ranked Excellent (5 stars) in corporate governance from the Thai Institute of Directors (IOD).
• For the sixth year, the Company received Thailand Sustainability Investment (THSI) 2021 Award at the SET Sustainability Awards 2021 organized by the Stock Exchange of Thailand.
• Letters of Recognition certifying waste segregation projects are received after participating in the Low Emission Support Scheme: LESS) from Thailand Greenhouse Gas Management Organization (Public Organization) with details as follows.
- Lumpini Place Ratchayothin project reduced 85.910 tCO2e of greenhouse gas emission during certification period from 3 May 2020 to 1 May 2021.
- Lumpini Suite Dindaeng-Ratchaprarop project reduced 9.684 tCO2e of greenhouse gas emission during certification period from 22 June 2020 to 28 May 2021.
- Lumpini Condo Town Bodindecha - Ramkhamhaeng project reduced 4.101 tCO2e of greenhouse gas emission during certification period from 25 April 2020 to 1 May 2021.
In 2022, the real estate business continues to experience the economic uncertainty and volatility from the rapid spread of the omicron variant of COVID-19. Under such uncertainty, L.P.N. Development Public Company Limited, therefore, designates Year 2022 as the Year of Business Transformation in order to drive the organization to overcome business risks and restrictive business practices and become an organization with sustainable revenue and profit growth by balancing the 3 pillars of sustainability or 3 P - Profit (Profit), People (Society) and Planet (Environment) - through the operation in the following 4 dimensions as follows.
In 2022, the Company has a business restructuring. The development business is separated from the service business in order to create clarity in management and for the benefit of future business expansion. Under the new business structure, L.P.N. Development Public Company Limited aims to be a developer of both residential condominiums and residential homes whose main income comes from the sale of housing. Meanwhile the project management service business will be operated by LPP Property Management Company Limited (LPP). The goal is for LPP to have a constant annual growth rate of no less than 10 percent. Under such restructuring, LPN still holds a 100% of the shares in LPP. There is a plan to have LPP listed on the Stock Exchange of Thailand by 2026.
Apart from business restructuring, in the real estate development business, the Company also changes the structure of work from functional organizational structure to business unit management structure which is an ongoing reorganization from 2021. Four business units are established consisting of a business unit responsible for the development of residential condominiums, a business unit responsible for the development of less than 10 million THB residential homes, a business unit responsible for the development of over 10 million THB residential homes and a business unit responsible for rental business. This will allow each business unit to work with agility on both design and project development so that it can rapidly response to the needs of buyers in each segment and meet the targeted customers’ demand more accurately. A goal is for every business unit to generate additional income and have growth rate of no less than 10 percent in 2022, compared to 2021.
In 2022, the Company focuses on stable growth within the framework of “increasing income and controlling expenses”
How to “increase income”
1.
Increase the share of income from residential home development to no less than 30 percent of total income in 2022 in order to be in line with needs and behaviors of current buyers who increasingly prefer residential homes. The Company plans to launch one premium residential home project at a price of more than 10 million THB per unit, valued around 700 million THB, and 10 residential home projects at a price of not more than 10 million THB per unit under the Baan Lumpini brand, valued around 3.3 billion THB.
Maintain the 2022 share of income from residential condominium development in the same level with that of 2021. The Company plans to launch 5 new projects in 2022, worth no less than 7 billion THB, and liquidate the inventories worth 8 billion THB in approximate to reduce financial costs. Generate additional income from existing assets such as generating rental income from existing condominium units, developing existing assets to create additional income, etc.
Control the operational expense to reduce management cost. Adopt design and construction technologies that can help control design and construction costs, such as design and construction control through 3D modeling or BIM (Building Information Modeling), to reduce construction costs. A 3D virtual technology is also used to support and increase sales and marketing efficiency.
Analyzing customers’ behaviors and needs from the Big Data, in 2022 the Company emphasizes on developing products and services that respond to the customer insight by adjusting its project development transformation plan. The Company plans to develop smaller residential projects, both residential condominiums and residential homes, to meet the demand of new generations who needs freedom of living, privacy and uniqueness. The design is done under the concept of “LPN Design” in order to provide housing that is “livable”. Appropriate technologies for living are used in developing housing that suits the needs of new generations and people of all ages in the family, such as interior energy saving, EV Charger, Active Airflow System to increase the comfort of living and Touchless technologies for hygienic living.
Increase efficiency and skill of employees by applying digital technology in their skill development and adapting it to suit the work process which will sustainably increase efficiency and reduce operational cost in the long run.
The Company has been establishing a vision to serve as a guideline for business operation for more than 16 years in order to ensure that the operation of all departments in the organization is moving towards sustainable development. Each vision is strengthened and appropriate growth target is determined to develop and drive the organization forward. The business plan and short-term goal are identified annually both in terms of values and finance to be in conformity with the mission towards all stakeholders. It is to generate a sound profit, bestow the values of the operation on the customers and be responsible for the environment and society.
Year 2021 is the second year of the new vision. The Company still focuses on driving corporate sustainability forward. However, amidst the economic crisis resulting from the widespread and consistent impact of the novel coronavirus pandemic, this year the Company has to operate with caution under concise risk management and adapting to various impacts in order to be able to lead the organization and all stakeholders through the crisis in a safe manner.
Regarding the main goal for organization’s growth, the Board of Directors places importance on and sets organization’s goals that are in line with the 2030 Agenda for Sustainable Development that includes 17 Sustainable Development Goals (SDGs) set by the United Nation. The goals in various issues are as follows:
Give back to the society by supporting “social enterprises” to enhance the quality of life and dignity of underprivileged women.
Make well-being a significant agenda of the company.
Enhance well-being and occupational safety of staff. Design projects with the residents’ well-being in mind.
Provide educational opportunity to underprivileged women
Support gender equality in the organization.
Develop projects that protect and restore water-related ecosystem.
Design with water-use efficiency in mind.
Enhance well-being and occupational safety of construction workers.
Be responsible for possible impacts on the environment and society.
Promote schooling for underprivileged children living in construction worker camps.
Treat employees in a fair and equal manner.
Take care of the quality of life and the safety of residents of all ages.
Treat wastewater before it is reused or discharged.
Encourage the reuse of treated wastewater.
Encourage wastewater treatment within the community before discharging good quality water to public waterways.
Reuse treated wastewater in the communities.
Design buildings to be energy efficient to reduce energy use.
Create jobs, income and operational profits.
Carry on anti-corruption operation. Encourage integrative researches to enhance the adjustment to become a sustainable organization in the property development industry.
Treat all stakeholders equally.
Respect human right and give significance to providing equal opportunity to people with disability.
Develop projects to ensure access for all to adequate and safe housing.
Develop projects in densely populated areas in response to the increase in population
Establish appropriate target of return and profit growth of all subsidiary companies.
Promote a sustained and sustainable economic growth of stakeholders.
Establish an energy consumption management plan within the projects.
Regularly organize activities to promote energy conservation.
Establish a policy to promote a full and productive employment and decent work for all women and men.
Support process innovation, product innovation and service innovation and business model innovation
Build a Livable Community for all to encourage the creation of participatory and sustainable societies. Treat
Develop projects that have green and public spaces accessible by everybody.
Emphasize the importance of environment in all operational processes.
Establish a plan for an efficient use of natural resources.
Promote waste recycling and reduction in the organization.
Raise awareness and integrate climate change measures into the organizational policies and strategies.
While designing, keep in mind the projects’ overall energy consumption efficiency and water consumption rate.
Take into consideration impacts on existing ecosystem while developing a project.
Design environmentally friendly projects by applying Green Design Concept Standard.
Use the universal design concept while designing the projects so that everybody can use project space without discrimination.
Identify the organizational goals in accordance with international goals.
Collaborate with other organizations to develop various technology and knowledge.
Efficiently manage and use natural resources in the construction.
Establish a specific policy to eliminate hazardous waste and pollution from the construction.
Promote recycling and reduction of construction waste.
Develop environmentally friendly project.
Control negative impacts caused by construction process using the LPN Green Construction Process Standard.
Establish a plan for an efficient use of natural resources in the community.
Promote recycling and reduction of household waste.
Avoid and prevent possible negative impacts on ecosystem of the project area during the construction operation.
Conserve the ecosystem within the project to ensure its abundance and sustainability.
Provide standardized services in a fair manner.
L. P. N. Development Public Company Limited has adopted the Philosophy of Sufficiency Economy as a guideline for business operations. This includes principles of sustainable development that focus on 3 dimensions which are economy (Profit), society (People) and environment (Planet). The environment, in particular, can be widely impacted by several processes in real estate development business such as the design process and the construction process.
The Company has applied the international green building design principle to design and develop of its projects. It has been developed further until it becomes LPN Green Design Concept standard and LPN Green Construction Process standard that place importance on the environment since the design concept. In addition, one of the key strategies which is considered the strength of LPN is the zero-waste design with no material waste. These were 2 main strategies of the Company when it first began its environmental and social responsibility operation. Later on, the standards of other relevant processes are developed until completed and become a sustainable development strategy and a concrete practice guideline under the 6 GREEN LPN concept.
Year 2021 is a year to continue environmental and social responsibility work. The goal of the Company in measuring the carbon footprint of the organization is to become a Carbon Neutral Organization. The Company has continuously assessed the carbon footprint of the organization and bought carbon credits to offset the Company’s total greenhouse gas emissions. It receives two types of carbon labels. In addition, Dolsiri Development Co., Ltd., a company jointly invested by LPN development PCL and Nye Estate Co., Ltd. (NYE), is going to develop an office building on Rama IV Road namely the Punn Tower project which will be constructed as a high-performance building according to LEED rating system.
Green Design Concept and Green Construction Process Standard for Housing
BEC Awards
First LEED
Certified Project
Dream House Project
6 GREEN LPN
First LPN Signature
Green Project
Green Design Concept and Green Construction Process Standard
Livable Community Model
The Seeds: Idea Suggestion
The Seeds: Idea Suggestion #2
Construction Camp Site - Quality Improvement Project
100% BIM Implementation
LPN Signature Course
ISO 14001 and ISO 9001
Kick-off year
Product Development Center
Green Enterprise Standard
Green Marketing Management Standard
Green Financial Management Standard
Lumpini Property Management Co.,Ltd achieves ISO 9001: 2015
LPC Social Enterprise Co.,Ltd. achieves ISO 9001: 2015
Lumpini Project Management Service Co.,Ltd. achieves ISO 9001: 2015 and ISO 14001: 2015
LPC Social Enterprise Co.,Ltd. certified as the first group of SE
TREES Certification Anticipated Green Community Management Standard Service Development Center
LPN Zero Waste Management Project 2022 Kick off
LPN Zero Waste Management Project 2022
LPN Carbon Neutral Organization
LEED Certification Anticipated (Punn Tower)
In 2021, Thailand and the world have to face the persistent coronavirus disease or Covid-19 pandemic situation which affects the economic activities and lifestyle of people in Thailand and around the world. The number of infected patients around the world in 2021 continues to rise. For example, the total number of infected cases in Thailand is 2,194,572 as of 31 December 2021. Due to the continuous increase in the number of infected patients over the past two years, people’s lifestyles have changed immensely. Hygiene has become the first priority under the New Normal. The care of personal and public health, social distancing and touchless society have become important in the prevention of the spread of COVID-19 from public spaces such as offices and private areas such as residential buildings or houses.
Due to economic slowdown and the new variants of COVID-19 pandemic, consumers’ decision to buy housing has changed from the past. Consumers are worried about the outbreak and it has impacts on daily life making it more difficult to work and harder to decide whether to buy or invest in real estate. Hence, the Company has improved housing designs and applied more technology to meet the needs of customers as much as possible. In addition, in every process of investment planning and development of housing and services, the Company has used information from a survey done by LPN Wisdom, a research and development center for products and services, a subsidiary of LPN Development PCL. The survey found that the launches of new projects in the Bangkok and its peripheral areas in 2021 are 55,863 unit in total, decreasing 20%. The value of new project launches is 265,558 million baht, decreasing 4% when compared to 2020. It has been declining for the 3rd consecutive year since 2019 as a result of the slowdown in economic and purchasing power.
From such trends, real estate entrepreneurs need to prepare to provide living service, develop projects that are in line with Customer Insight and take care of all stakeholders involved in real estate business development. The Company intends to manage and develop operational guidelines under the sustainable development strategy, 6 GREEN LPN, whose operational standards in every process are capable of responding to the situation and pursuing continuous operation effectively. Care and assistance are provided to 8 stakeholder groups, such as employees, customers, residents, labors and environment, in 10 real estate development processes in order to move through crisis during the Covid-19 pandemic and create stable growth of the organization along with sustainable development. Details are as follows:
The Company has always emphasized on human capital management. During this COVID-19 crisis, the Company has particularly enhanced measures to take care of its employees. A pandemic surveillance and control center is established internally to analyze the situation and the impact of various operations of the Company. The Company has established practical guidelines as follows:
• Measures taken from the beginning until now include screening people entering and leaving the buidling with a thermoscan, performing social distancing in elevators, conference rooms and office desk areas, cleaning and disinfecting every 1 hour, making it mandatory to wear masks and placing alcohol gels in various locations in the premise.
• The Company has issued a Work from Home measure to accommodate employees who can work from home to reduce infection risks. Resources are provided to enable continued operations in times of crisis, such as online working systems and software. Work from Home devices such as company’s computers are provided.
• For employees who cannot work from home, the Company has issued a policy for them to work alternately. Workspaces are socially distanced to reduce risks.
• There are hygiene measures and a screening system before entering the work area. Social distancing measures are mandatory.
• Staff is split into teams and work alternately to prevent outbreaks in the community.
• Insurance is purchased for employees to reassure them and build confidence in the Company’s employee care.
In addition, for high-risk employees, the Company has also prepared instructions for self-quarantine and self-care for them. Employees are inquired about their symptoms periodically so that the care and advice are continuously provided until the end of the surveillance period when the employees are able to return to work. If employees have symptoms of COVID-19, the Company will arrange RT-PCR tests and further treatment. This care is not limited only to employees but also to their families as well.
The Company has also developed a specific employee care process in COVID-19 situation under medical recommendation and information as follows:
Notified by staff or supervisors, discuss the risk of disease
OD considers the risk, gives recommendation on how to proceed
Under surveillance: 706 persons, Tested positive: 375 persons Death: 1 person
Recovered: 374 persons
Total
Main business of L.P.N. Development Public Company Limited is the development of residential properties, both condominiums and houses. The development of the Company’s projects is directly affected by the economic policy and the COVID-19 pandemic, such as the announcement of the Bank of Thailand to relax its loan-to-value (LTV) regulation. The Company is prepared to manage risks arising from changes in government policies under the enforcement of new business-related laws. The business strategy has been adjusted by accelerating the sale of ready-to-sell products. Smaller sized residential condominium and single-house projects are developed since they are sellable and the deals can be closed quickly. This is to reduce the cost burden incurred from the enforcement of the land and building tax. The down payment period has been extended as an assistance to customers so that they have less need to apply for housing loans from financial institutions. The Company expands its customer base to young generation customers and approaches investor groups by offering them yield guaranteed sale.
The Company has been prepared for the changes resulting from the COVID-19 pandemic by implementing policies to manage investment plans properly including land purchases, launches of new projects with sales volume risks, delays of construction work of projects with low sales volumes and acceleration of construction of projects with high sales volumes. This will enable the Company to hand over projects to customers and recognize its revenue as planned in order to increase cash flow and manage financial liquidity during the recession. The development of residential home projects is increased in response to the increasing market demand for residential homes. Since the residents’ behavior has changed to New Normal, the Company plans to increase the proportion of residential home development to add product varieties and meet the customer needs at most.
During the COVID-19 outbreak, single-home and condominium residents give an emphasis to design that can prevent the spread of virus and promote better well-being and hygiene. Therefore, the Company has combined the WELL Building Standard, or building design that takes into account the well-being and healthy living of residents, designed by the International WELL Building Institute (IWBI) with the LPN Green Design Concept to improve the design standard to suit the New Normal lifestyle better. Significant issues that have been applied in the design are as follows:
Applying social distancing in design is to reduce the density in common areas such as lobby, co-working space and juristic person office. A drop-off area is provided to reduce risks and facilitate the management of parcel pick-up and delivery.
LPN has switched to a touchless operation system. Sensors are used on equipment, such as elevator buttons and doorknobs, that is prone to germ build up as it is touched.
Since residents have changed their behaviors, including working from home and performing other activities such as cooking and growing plants, LPN has set a goal to develop products with functions that respond to the changed behaviors without a significant change in room dimensions.
4.
Projects are designed to have green spaces and common areas where resi dents can choose to do other activities for recreation to create life-work-rest balance.
When designing, LPN concerns mainly about the quality of life and the well-being of the residents in the project. Its design of building interior system helps create a good living experience, such as the design of openings for good air ventilation and to bring in good amounts of natural light. As a result, all spaces of the project have good air quality, not polluted by indoor and outdoor pollutants.
During the past 2 years, Thai government has relaxed COVID-19 restrictions and allowed several businesses to resume their operation after a long period of lockdown. This includes workplaces and project sales offices that have established COVID-19 disease control measures and guidelines to prevent and control the COVID-19 infectious disease in the area. The Company values stakeholders who are “customers” during pre-purchase, purchase and post-purchase periods ensuring that they have a good customer experience and good hygiene and feel assured visiting the sales office.
Sales offices are an important part of Green Marketing Management. They provide accurate project information and create an impression and confidence on products and services to customers. After being able to reopen sales offices at project sites due to the government’s easing measures, the Company pays attention to the disease outbreak prevention strictly. Employees of the Company wear masks while working and have been vaccinated against COVID-19. Prior reservation is needed for visiting a project to ensure proper social distancing. Equipment in the sales office is cleaned every 1 hour for customers to feel safe and assured when visiting our sales office in the New Normal style.
The Company has developed a One Click sales office, an online sales office system where interested parties can conveniently visit every project that is for sale and book condominium units or houses from their devices without having to travel to the actual site to reduce COVID-19 risks. For inquiries and details, they can contact through online channels.
In addition, the Company has developed a 3D interactive virtual tour. The customers can visit a project via their own online devices by choosing between a self-guided 3D tour and a 3D virtual walkthrough accompanied and guided by sales representatives which enable a conversation. Lumpini Ville Charan-Fai Chai is the first project to adopt and implement this. It gains customer interest and positive feedback during the disease outbreak and provides hygiene safety and convenience for customers. This is to ensure customer service satisfaction which is a part of the sustainable development goal.
To prevent the spread of COVID-19 in construction areas and workers’ accommodation, the Company has cooperated with LPN Team to increase surveillance measures, systematic surveillance and immediate disease control as announced by the Bangkok Metropolitan Administration. All related parties meet together to discuss how to implement the Bubble and Seal guidelines and establish Camp Isolation including the exit plan. Standard response plan has been developed for all projects as follows:
1. Find field hospitals and waiting centers for infected people because there may not be enough beds in field hospitals prepared by the government.
2. Prepare a waiting space in the worker accommodation area for those who have been in contact with the patients but no infection has been detected yet or experience no particular symptoms.
3. Provide transportation system to pick up and drop off workers from their accommodation to the construction site to prevent a stopover.
4. Establish a shop selling food and consumer goods at an affordable price in the working sites and accommodation area to reduce contact between employees and people in the community.
5. Find infirmaries that are ready to provide COVID-19 testing using either RT-PCR method or Antigen test kit.
Besides, the Company donated rice and dried food, valuing 1,669,624 baht in total, as relief aids for construction workers during the one-month workers’ camps lockdown.
Two sets of VDO clips are created in 3 languages (Thai, Laos, Cambodia). The first set is “Living a safe life away from COVID-19” which is basic health care, such as wearing a mask and proper hand washing. The second set is “Live is safe if we have safety” which is an education about wearing protective gears while working.Training and knowledge sharing are conducted concurrently for 2 projects including Lumpini Selected Charan 65 - Sirindhorn Station Project which has 250 participants and Punn Project which has 55 participants.
The Bubble and Seal measure is a disease control measure by quarantining workers, not allowing them to leave their accommodations or construction sites. This is to control the spread of the disease in workplaces where people usually do activities together. It can be done from the time when there is no infected case to the time when there is a large number of infected cases. People are divided into small groups according to the established criteria. Members of each group can work together self-protected but cross-group works or activities are prohibited. Employees are not allowed to engage in activities outside the workplace or their residence to prevent the spread of the disease between people in the outbreak zone and the surrounding community, prevent death and reduce the socio-economic impacts from the absence of work.
The number of infected people in the COVID-19 pandemic situation keeps rising consistently due to the outbreak of new variants. Living in a condominium with a large number of residents, infection within the project area is inevitable. In the name of the Company, LPP Property Management Company Limited or LPP, a subsidiary of LPN responsible for the management and maintenance of residential common property, is concerned about residents of projects developed by LPN and ready to take care of the residents ensuring that they are safe, have good hygiene and trust the maintenance of residential buildings.
Currently, increasing number of patients with mild symptoms receives home isolation treatment. The project’s juristic person and the condominium juristic person committee have jointly set up a war room to monitor and report infection within the community. Specialists from the Disease Control Department, Ministry of Public Health, were invited to provide knowledge and understanding of what should be done when infected people are present in residential buildings.
LPP has prepared a practical manual for care of residents and residential buildings for every community to create the right understanding and care. Juristic persons and personnel inspect and collect the number of infected cases in the project received from direct notification and online registration via LPP Home Isolation which staff can contact back to the residents. Public relation media is produced to give advice on how to prevent the spread. It serves as a reminder to personnel and co-living residents. In addition, juristic person staff will periodically monitor and inquire residents. LPP Home Isolation service delivers one lunch or one basket of fruits per day to the residents. There is also a parcel delivery and drop-off service at their doorsteps. Staff will help facilitate the coordination with hospitals or related agencies if residents develop severe symptoms.
In order to reassure residents of LPP care services, the company regularly cleans and disinfects common areas and areas with infection risk up to standard every hour. A mask and gloves are worn while working. Contaminated Infectious waste is disposed correctly. Juristic personnel are vaccinated for COVID-19 to ensure service continuity and reassure residents in Lumpini projects.
LPN sponsoring a COVID-19 vaccination center
During the COVID-19 pandemic situation, the Company is concerned about the severe spread of the novel coronavirus disease 2019 (COVID-19) as it has ongoing widespread impact. The government has issued acceleration measures to vaccinate as many people as possible to keep the situation under control. The Company is constantly taking part in taking care of Thai society. The Company allowed the use of its Lumpini Tower Vibhavadi office as a worker camp COVID-19 vaccination center from 21-30 July 2021 and 9-31 August 2021 in order to increase the vaccination coverage. This was done with the cooperation of Social Security Office, Ministry of Labor, Kasemrad International Hospital Rattanatibeth and Paolo Hospital Chokchai 4. Staff was assigned to support the vaccination activity throughout the whole opening period.
According to the policy of the Social Security Office, Ministry of Labor, it aims to give COVID-19 vaccination to 83,082 workers from 611 workers’ camps in Bangkok, including 32,471 Thais and 50,611 foreigners. 20,000 workers in those camps have been vaccinated. There are 60,000 people more to go.
The worker camp COVID-19 vaccination center at Lumpini Tower Vibhavadi opened for vaccination for Thai and foreign construction workers from camps in Bangkok from 21-30 July 2021 (8.00-17.00). The plan was to vaccinate 10,000 workers. It turns out that 10,019 workers have been vaccinated. It reopened from 9-31 August 2021 with an aim to vaccinate 1,500 Thai and foreign construction workers from construction workers’ camps in Bangkok per day. The eligible workers had to be insured persons under Section 33 and have been registered with the Social Security Office.
The Company is delighted to be a part of the success and give contribution to the society by opening the “Lumpini Tower Vibhavadi” building as a vaccination center as well as preparing the location and allocating staff to provide services at the vaccination center. In addition, the Company has also set strict safety measures. The vaccination center was cleaned and sprayed with disinfectant more frequently on a daily basis. The safety measures issued by the Social Security Office, Ministry of Labor, require all workers to pass a COVID-19 swab test before coming for vaccination which makes this center safe and not a source of virus spreaders throughout the service period.
Picture : The Company is delighted to be a part of the success and give contribution to the society by opening the “Lumpini Tower Vibhavadi” building as a vaccination center.
The philosophy of sustainable development has been compiled and refined into an internal knowledge of the organization as well as become the practice that all departments adhere to. It will be the foundation that mobilizes the organization at the strateg ic and operational levels.
The Philosophy of Sufficiency Economy
Sustainability Guideline and Performances
Since the establishment of the Company, it has been conducting the business in a responsible and fair manner by ensuring the balance of benefits for all related parties. The stability of the Company is achieved from internal management process alon g with the development of human resources. After the economic crisis in 1997, the Company focuses on the development of projects in accordance with the strategy of the organization and overall economic situation. The Company has attempted to maintain appropriate growth of the organization. In addition, the business operation of the Company has been conducted in accordance with the “Philosophy of Sufficiency Economy” of H.M. King Bhumibol as follows:
Regularly assess the Company potentials and risks in order to set an appropriate growth rate. Seek adequate profits from business operation by not exploiting or taking advantage of customers or society. Use the world’s resources with gratitude.
Return the products and the profits to the society.
Analyze the economic situation and other factors before identifying targeted customers and projects.
Take into consideration quality of life of the residents in all aspects, both products and service, with the “Livable Community” concept.
Create a balance of benefits for all stakeholders.
Consider the impacts of the business operation in all dimensions.
Emphasize continual human resources development.
Operate business with caution by establishing suitable strategies for economic situations.
Continuously develop innovation, tools and process for business operation.
Focus on risk management in order to prepare for upcoming crisis.
Assess impacts on stake holders and stakeholder risks throughout the whole process.
Strive to be a learning organization, encourage knowledge and skill sharing and integrate various fields of knowledge for the most efficient operation by putting LPN Academy at the core of the mobilization.
Identify “integrity” and “honesty” as ones of the corporate values leading to corporate governance which is the cornerstone of business operation, as well as comply with good corporate governance principles.
In every step of business operation, the impact must be taken into account and the balance of the following four dimensions must be created. Economy - generate adequate income and profits and do not take advantage which will cause negative effects in other dimensions. Society - build a good relationship with communities and wider society, be a good global citizen and respect all stakeholders. Environment - use the resources with gratitude in the most efficient and effective manner and reduce the impact on the environment.
Culture - be a part of a wholesome culture conservation, respect diversity and conduct business on good ethical principles.
We believe that sufficiency and adequacy will bring about balanced and sustainable growth.
The business operation of the Company has always been done in a socially and environmentally responsible manner in all processes and in every step. This is to prevent and minimize possible environmental and social impacts and take proper care of stakeholders according to the organization’s sustainability management guideline or LPN Platform 3-6-8-10, which has been refined and constantly developed throughout 30 years of its operation. Triple Bottom Line framework, a principle of sustainability development that focuses on the 3 ultimate components in economy, society and environmental has been applied in the establishment of the operational goal of the Company. “6 Green LPN” strategy showcases the responsibility towards eight groups of stakeholders from ten property development processes in order to maintain the balance of the business operation and enhance stable growth. The ultimate goals of the three components of our business operation are as follows:
Create the balance of adequate and regular profits from the operation on the basis of good corporate governance, responsibility and transparency in business operation, appropriate risk management and the consideration for profit-sharing with all stakeholders.
Take social responsibility not only for internal stakeholders but also external parties including trade partners, customers, residents and neighboring communities, construction workers as well as the national society at large.
Reduce the impacts of the project development (In Process) in terms of the project design and construction and takes care of the environment and quality of life of the residents and neighboring communities after the handover of the project.
Usually, the responsibility of a real estate developer comes to an end after the product or condominium units are handed over to customers. On the contrary, the Company realizes how significant it is to ensure that the quality of life of the residents of the projects developed by the Company is enhanced and taken care of as they have trust in Lumpini brand and decide to make our condominium unit their “home”. This is the beginning of the development of “Livable Community” concept which is an after-sale service offered both in terms of building management and community management. The concept has been implemented for more than 30 years. The responsibility towards all stakeholders of the Company has started from the policy level within the organization. It follows the Philosophy of Sufficiency Economy that emphasizes on creating integrated values in all sectors for sustainable development and focuses on using the information obtained from the study, research and development and the use of technology for decision-making based on good governance that takes into account all stakeholder groups in all 10 core processes of the property development of the Company as follows:
All through the 30 years, the business operation of the Company has always been done in a socially and environmentally responsible manner in all processes. “6 GREEN LPN” concept is developed from our extensive experiences in property development and community management as a practice to ensure a balanced and sustainable operation for the benefit of all stakeholders. At present, 6 GREEN LPN concept is inclusive of six aspects of environmental and social responsibility as follows:
1
The business operation that focuses on human resources management and human capital.
2
The appropriate returns and growth of the organization.
3
The product design that is environmentally responsible.
4
The marketing strategy that is fair for the consumers and competitors.
5
The management of environmental and social impacts from construction process.
6
The care for and management of the quality of life of the residents after the handover of the project.
The Company identifies the first tier stakeholders involved in various operational processes based on the assessment of the level of involvement of each group of stakeholder. The level of involvement of the stakeholders is assessed by the level of influence they have on the organization and operation along with the level of impacts from the operation of the Company in order to be able to identify the importance of each stakeholder and establish a strategy to encourage their participation. The operational framework is established and the impacts on all stakeholders are minimized to enhance sustainable development and growth. The first tier stakeholders of the Company is categorized into eight groups as follows:
1 2 3 4
refer to shareholders of the Company, whether they be companies, funds or individuals who are benefited from the operation that emphasizes good corporate governance and environmental and social responsibility.
refer to those who are working for the Company and driving the operation of the Company to move forward in a sustainable manner, inclusive of staff in the operational level and managerial level.
refer to those who are interested in the project developed by the Company and have reserved to buy and made a down payment. In the future, when the project is completed, the customers will become joint owners /residents. In addition, the customers also refer to those who are interested in renting the Company’s condominium units and have made rental contracts and paid rental fees. In the future, this group of customers may become buyers and residents.
refers to trade partners or business alliances of the Company who take part in the design and construction of projects as if they are one of the staff of the Company. The objective is to achieve the mutual goal. LPN team also refers to co-investors in project development. They can be persons or companies.
5 6 7 8
refer to those who live in the communities surrounding the projects of the Company that are under construction and are affected by the impacts from the start of the project development through to after the project is being handed over.
refer to those who live in the project of the Company that has been handed over as customers or renters and are parts of the community taken care of by the Company.
refer to workers of the business alliances (trade partners) that are responsible for constructing the projects of the Company, inclusive of Thai and migrant workers.
refers to the components of sustainability that is at the foundation of all business operations. The operation of real estate development business directly impacts the environment, therefore, the Company focuses on the conservation of environment nearby the project.
Project Location
The development concept is designed to be appropriate with the project location. The two concepts for project development are pilot project i.e. project development in new locations with minimum competition (Blue Ocean Strategy) and expanded project i.e. project development in highly successful locations where demands for residential property are high.
1 4 2 5
Project Development
Process Specification
Projects are analyzed and development goals are set in order to specify project’s characteristic and size and development steps, including brand and product value that will be delivered to customers, by considering the return on investment, the location suitability and the project development pattern.
3
6 PROCESS PROCESS PROCESS PROCESS
Design Concept
Products are designed with environmental and social responsibility in mind in response to the needs that are in ‘balance’ with every dimension of living. It uses the LPN Green Design Concept Standard which is developed by LPN and is consistent with internationally accepted Green Building Standard. This is to standardize the product making it a residence that promote resource conservation and truly minimize environmental impact.
PROCESS
Sales & Marketing Management
The marketing activity of the Company is “Human Centric” or directly focuses on the needs of the customers. The policy of the Company is to build the first home for those who do not yet own a house. It is to give something back to the society. Furthermore, the Company respects the rights of customers and keeps our promise.
Land Purchase
The decision made by the Management to buy a piece of land is based on the vision as well as information from the Research and Development Department and Marketing Department. The demand, supply and feasibility for project development are carefully studied beforehand in order to ensure that the project development is in accordance with the strategy of the organization and customers’ needs.
Financial Management
The business growth and returns for stakeholders are identified in line with the annual business plan. The construction costs and profit of each individual project is appropriately prepared. The financial statements are accurate and reliable and are prepared in a transparent and auditable manner without any hidden agendas. In addition, financial risks have always been managed.
Procurement PROCESS
Operational standard is set and the procurement inspection is regularly and concisely performed according to international standard. This includes choosing quality and environmentally friendly materials and promoting the use of materials that contained recycled content to reduce the natural resource consumption.
Project Management
The Company does not only apply Q-C-S-E-S+P strategy in its management, but also keeps in mind the impact on surrounding society, community and environment in every dimension. Moreover, it manages possible risks during construction by cooperating with alliances and following the Green Construction Process Standard strictly.
Condominium Unit Handover
The quality of condominium units and common area is fully inspected before the condominium units are handed over to reassure the customers that they receive up-to-standard and good quality products. As a preparation before moving in, the Livable Community policy and residential rules are communicated and informed to residents to create understanding, acceptance and happiness in living together.
PROCESS
Community Mangement
“Livable Community Strategy” is one of the core strategies of the organization. The Company does not only manage the building but also the quality of life, society and environment and promote “togetherness, care and share” culture.
The operation of property development business directly impacts the environment and society especially the development of large-scale projects. It can be seen that low quality properties usually cause serious environmental and social problems. The Company has thus given importance on business operation that is environmentally and socially responsible as well as incorporated the Corporate Environmental and Social Responsibility (CESR) into the business plan in order to pave the way towards sustainability. We do not only focus on CESR In Process along the thinking of “6 GREEN LPN” but also on CESR Out Process by supporting activities that promote “Togetherness, Care And Share” culture.
Moreover, the Company has established organizations, the operation of which is separated from the core business operation of the Company but is partly related to the business processes. The purpose of the organizations is not to seek profits but to support the society. This is considered CESR As Process. The two organizations are LPN Academy, the center for human resources development and knowledge sharing and LPC Social Enterprise Co., Ltd. the center for the development of quality of life of underprivileged women.
The responsibility towards the impacts of all processes of the business operation of the organization on the stakeholders, environment and society.
The participation in and support for environmental and social activities that are not related to the operation of the organization.
The support for and implementation of environmental and social activities that are not involved with the core business of the organization but are partly related to the business process.
L.P.N. Development Public Company Limited
1. GREEN ENTERPRISE
2. GREEN FINANCIAL MANAGEMENT
3. GREEN DESIGN CONCEPT
4. GREEN MARKETING MANAGEMENT
5. GREEN CONSTRUCTION PROCESS
6. GREEN COMMUNITY MANAGEMENT
While the global economic crisis and pandemic has been going on in 2021, the Company still values and focuses on working with environmental and social responsibility in every process and every step of its business operation. This is to prevent and minimize possible impacts on the environment and society, as well as appropriately take care of 8 groups of stakeholders in accordance with the 6 Green LPN approach, which will lead to a sustainable business operation. Corporate policy and operational standards in all sectors are established. The Company also alleviates and eases the burden or the impacts of this crisis on stakeholders in full capacity. The two components of the corporate policy are as follows: 1. Sustainability Management 2. Human Capital Management.
The Company has developed the management guideline and strategy by establishing appropriate growth and profit target giving sustainable and substantial returns to all stakeholders. In the past year (2021) in particular, the Company has taken into account the development and sustainable solutions in a more systematic manner since it was the year that real estate businesses experience the consequence of the COVID-19 crisis in 2020.
Adhering to the Philosophy of Sufficiency Economy which promotes social well-being, the product development policy of the Company intends to build residence that is “suitable” for living as well as create a better quality of life for residents in every dimension.
Apart from developing residential condominiums and homes, the Company also enhances the quality of life of all members of the community under the “Livable Community for All” strategy. The projects are equipped with convenient facilities and safety systems. More importantly, “togetherness, care and share” culture is promoted through various activities to raise awareness of a harmonious community.
The Company focuses on long-term growth which is consistent with the governance and sustainability principles. There is a policy to generate various forms of profits for all stakeholders in a balanced and appropriate manner.
All aspects of risks are managed to be under control and the returns are determined upon the competitive situation and performance of the Company. Risks are reduced by reserving fund to maintain the liquidity of the Company. All of the above are done in a responsible, transparent and auditable manner in accordance with sustainability principles. The Company does not exploit others or focuses only on profit.
The Company is against all forms of corruption, whether it be internal or external, by establishing concise operational process to reduce risks, communicating the importance of anti-corruption policy to employees, identifying integrity as one of the values of the organization, declaring the intention against corruption and complying with law and regulations and paying taxes.
The Company takes responsibility for the operational impacts with the 6 GREEN LPN and operational standards in every departments. It also promotes environmental and social awareness and encourage staff participation through various environmental and social operations and activities.
Operating through LPC Social Enterprise Co., Ltd., an affiliated company of L.P.N. Development Group, the Company takes part in building a great society by creating job opportunities for underprivileged women so that they have stable jobs, earn income to enhance their families’ quality of life and develop a better quality of life for themselves. In addition, the Company also imparts knowledge and experiences to the society.
The Company puts emphasis on the development of human resources to carry on the success of the Company. LPN Way is developed from the core competency of staff to be the guideline that will promote the sustainability in the management of human resources in an integrated manner, to build the identity of the organization and be the operational standard. LPN Way comprises two milestone values i.e. “continuous development” and “respect for stakeholders”. The seven components of the values are “C-L-A-S-S-I-C” as follows:
The concept of the management of human capital of the Company is based on the enhancement of happiness through the six factors at work by continuously developing the quality of staff, promoting exchanges of experiences and knowledge in order to become a learning organization and developing the operation guideline under the culture and values of the organization (LPN Way).
Enhance the happiness of staff by organizing internal activities to build good relationship between executives and staff in all departments and promoting participation in various activities e.g. the activities within the organization and environmental activities to raise awareness about doing good deeds.
1. 4. 2. 5. 3. 6.
Provide appropriate, equal and fair benefits and remuneration and enhances the quality of life of staff by promoting work-life balance.
Regularly improve the efficiency of the operation to increase the efficiency of the operational process and encourage staff to develop process innovation at work.
Arrange appropriate working environment and atmosphere and promote occupational health and safety of staff.
Provide opportunity for career advancement and signifying career path for staff in all levels equally, whether they be male or female staff as well as build their capacity via trainings.
Build the reputation of the Company by adhering to the principles of good corporate governance, respecting human rights and operating the business in a transparent manner so that the staff can take pride in being a part of the organization.
With the commitment to develop the organization towards sustainability, the Company has established LPN Academy to develop the capacity of staff to be able to support the business expansion and carry on the values and culture of the organization in accordance with the LPN Way via training courses and curriculums. It is also aimed to transfer the knowledge to external organizations in the future.
The Company takes care of the quality of life of staff and encourages them not to over work and to spend time with their family. The Company sets appropriate working hours per week and encourages all staff to take annual leave.
Managing an organization for sustainability is main philosophy of the Company and the heart of 6 GREEN LPN. It is integrated in all aspects of the Company’s operation i.e. Green Financial Management, Green Design Concept, Green Marketing Management, Green Construction Process or Green Community Management. The Sustainability Management under Green Enterprise concept covers structural management operation of the organization which aims to be an organization with good governance.
Opportunity and risks are present together in every process of business operation. In 2021, the Company has adjusted its strategy to be in line with the overall economic situation including the situation of the real estate business that has been affected by the Coronavirus Disease (COVID-19) pandemic so that there is a concise operational standard to assess and be cautious of possible risks in various dimensions. These risks might bring damage the organization. More details of policies and risk management plans for 2022 can be found in Form 56-1 One Report / Annual Report 2021.
The Company realizes that real estate development business operation has significant impacts on various stakeholders. In 2021 the Company has expanded its revenue base from related service business to increase income and reduce expenses. At the same time, the Company’s important policies are communicated to employees at all levels for acknowledgment via the Company’s communication channels so that they can take parts in the risk management. This enables the Company to supervise the risk management efficiently. Due to the impacts of COVID-19 pandemic, the Company has adjusted its business operation policy by adding marketing channels, online sales and project visits through 3D Virtual technology, preventing the outbreak and risks in worker camps and maintaining the Green Construction Process standard under the Q-C-S-E-S+P strategy to reduce construction impacts on stakeholders. The Company adopts technology and innovation from the international green building standards and develops them together as a project management guideline for LPN operation. This reduces the neighboring communities’ complaints on construction work and brings about safety for workers working on construction sites. It also reduces the possible negative impact on the organization’s reputation which is important for maintaining the sustainability of the Company.
During the COVID-19 pandemic situation, the Company still focuses on the livelihood of residents and co-owners. It develops its project management and service providing for residents using the “Livable Community” strategy that emphasizes on safe hygiene and well-being. The equipment and assets are not only well-maintained to ensure that they are ready to use, but they are also safe and sterile. The Company pays attention to creating happiness and good society. It seriously and consistently builds an environmental awareness in accordance with the F-B-L-E-S+P approach that has been studied and developed from a long experience in community management.
Risk management policy of the Company is in accordance with the risk management and internal control principle. Risk management policy has been regularly reviewed in order for the policy to be in accordance with changing situations and the current circumstances that involve various factors and change rapidly from internal and external factors. This is to reduce impacts by reducing the risks to an acceptable level. The Audit Committee, who is independent from the Executive Committee, is responsible for proposing risk management guidelines and providing risk management recommendations to the Executive Committee. Furthermore, the Committee monitors the management and reviews and revises the internal control system together with the auditors on a quarterly basis. The issues includes the operation, use of resources and assets to prevent any mistake, damages or corruption, credibility of financial reports and compliance with rules and regulations are examined so that the internal operation of the organization is smooth, transparent according to the good governance and corporate governance principles and in line with organizational strategy.
The Company adheres to the good corporate governance principle when conducting business. Good management structure and clear division of responsibility and management which enable checks and balances on the basis of fairness, equality and transparency accountability are important characteristics for good corporate governance.
Having fair and transparent management structure supports good corporate governance and helps develop business competitive ability of the Company. The management which bases on honesty, integrity, virtue and ethics contributes to transparent and accountable cooperation between stakeholders and the organization. This enables the organization to operate with higher efficiency, effectiveness and stability as well as sustainable growth. It will add economic value to the operation, build the confidence of shareholders, investors and stakeholders and reflect social responsibility of the organization.
The Board of Directors, thus, established core corporate governance principles of the Company and subsidiary companies in which the Company is holding more than 90% of shares as follows:
• Treat all shareholders and stakeholders equally and fairly.
• Dedicate to the Company and perform duties with caution and transparency for the highest benefits of the organization, shareholders, investors and all stakeholders.
• Establish the Code of Conduct for the Board of Directors and staff as a principle and guideline for compliance with the good corporate governance. In 2020, the Company adapts its training methods. The anti-corruption policy and steps are communicated and trained in the online staff orientation and online revision tool.
• Staff Orientation
Communicating and reviewing the Code of Conduct
4 courses/ 135 participants in total • 1,105 staffs
The Management structure of the Company in 2021 comprises six subcommittees under the organizational structure as follows:
This Committee has been established to provide oversight of the Company and subsidiary companies’ environmental and social responsibility. The focus is on the possible impacts on stakeholders.
The Board of Directors participates in the corporate operation on social and environment responsibility through this Committee. The Board of Directors appoints an appropriate person to take up the position of the Chairman of the Committee. The Chairman of the Committee is responsible for selecting qualified persons from every department of the Company, subsidiary companies and affiliated companies to be committee members. At the end of 2021, the Committee has 20 members including the Chairman of the Committee.
The composition of this Committee is truly an association for sustainability. It is a cooperation between highest-level executives of the Company, subsidiary companies and trade partners in order to consider all environmental, economic, social and good
risks and impacts as reflected by prominent stakeholders who have influence on the decision-making of the organization. (See more details regarding names of committee members in the 2021 Annual Report (Form 56-1 One Report).)
The Company has publicly announced the Corporate Governance Policy on www.lpn.co.th under “Investor Relation” topic and “Good Corporate Governance” subtopic which allows stakeholders and public an easy access to the policy. The Board of Directors as the highest authority in the organization has to abide by this good practice. It is one of the significant sustainability issue that the highest-level executives must take parts in moving it forward. The principles established by Corporate Governance Policy are as follows:
• Establish Clear Leadership Role and Responsibilities of the Board as the head of the organization who creates sustainable values for the business
• Define Objectives and Goals for Business Sustainability
• Strengthen Board Effectiveness
• Nominate and Develop High-Ranking Executives and Personnel Management
• Nurture Innovation and Responsibility Business
• Strengthen Effective Risk Management and Internal Control
• Ensure Disclosure and Financial Integrity
• Ensure Engagement and Communication with Shareholders
The Company has established the anti-corruption policy in every dimension and strictly in compliance with law. The Company has encouraged staff to monitor the corruption together. Integrity is identified as one of the core values of the Company that staff and executives have to strictly comply with the guidelines for promoting and instilling a core value of being “Smart and Good” in the staff are as follows:
• Communication and training on anti-corruption
The Company adapts its communication and training methods to current situation. For new staff, the content is included in the online orientation course. Communicating and reviewing the Code of Conduct and conducting online revision tests for all employees are done at a specified period of time. In 2021, the Company organized a training course for employees to review the Code of Conduct and conducted an online behavior review according to the Code of Conduct as follows:
Number of staff participating in the behavior review in 2021: 1,614 persons (97%)
Number of staff who registered and received 2 additional hours of training in Reviewing the Code of Conduct Course: 203 persons
• Establish a corruption risk assessment.
Number of new staff trained and completed the learning form on the Personal Data Protection Act (PDPA): 215 persons
100%
• Revise anti-corruption measures on a regular basis.
• Establish various complaint channels for staff to notify the act of corruption or misconduct as follows.
• Directly inform the Chief Executive Director or the supervisors
• Send a message to the Chief Executive Director or the supervisors on WhatsApp.
• Submit complaints by post.
• The Suggestion Box in the office
• The organizational commitment questionnaire.
• Inform the Organization Development Section, Human Resources Management Department.
• In-house corruption
In 2021, there are 5 cases of serious breach of discipline and 8 wrongdoing employees were caught. It is divided into 5 cases of in-house corruption including 1 case of falsification of timecards and 2 cases of violation of work rules. The punishment, according to the regulation, for both cases is the termination of employment.
Although in 2021 the COVID-19 pandemic situation is still severe, the Company maintains the efficient and fair recruitment procedure as the previous year. To be identified as the most qualified persons for the job, the Company requires that the candidates succeed both technical knowledge tests and interviews, according to the LPN operation guideline. In 2021, 646 new employees were recruited, and 434 employees resigned.
Regarding employment opportunities for persons with disability, the Company aims at recruiting 44 persons (which is higher than the number specified by law). Currently, the Company has recruited 39 staff who are persons with disability.
of new employees and resignation of employees
• By gender (persons)
• By age range (persons)
1. Health care for employees who have a high likelihood or risk of developing occupational diseases
The Company plans and specifies the annual medical check-up period for all employees. Unfortunately, the COVID-19 outbreak has caused the postponement of the annual medical check- up. However, the Company has monitored the health of employees who are at risk of occupational disease. Most of their health are within normal range.
In 2021, 23 employees were injured at work. Most of them were minor injuries and there was no work-related fatality.
2. Maternity leave and post-natal leave
The Company policy is to enhance quality of life of staff. The staff’s families are considered an important factor to make staff perform their work happily and efficiently. The Company supports pregnant staff to take a full period of maternity leave according to law, while being remunerated fully. In 2021, 29 staff took maternity leave; 5 of them were still on post-natal leave; 23 came back to duty and 1 resigned.
3. Impact and complaints on unfair employment practice
There was no compliant in 2021.
29 staff took maternity leave
5 of them were still on post-natal leave
23 came back to duty
1 resign
The standard wages of the Company is higher than the minimum wage. The average wage of the level 1-4 staff is 27% higher than the minimum wage. The average wage of community service staff is 17 higher than the minimum wage.
• Ratio of standard level wage to the local minimum wage by gender
1-4 (Male)
Community service staff: LPN pays 1.17 times (17%) higher than the standard wage (minimum wage). Wage ratio (base salary) compared to standard wage (minimum wage)
L.1-4: LPN pays 1.27 times (27%) higher than the standard wage (Bachelor’s Degree L.3-4 = 15,000, L.1-2 = 12,000)
The Company promotes participation of staff in designing policy regulations that concern their welfare benefits in order to protect their interest and to ensure fair treatment. Furthermore, staff participation allows the Company to hear their voice, which will help it to allocation welfare benefits according to staff needs and for their best interest. In 2021, a new Welfare Committee was elected, comprising 28 committee members, or 0.77% of all staff.
7. Workforce by Gender and Age in 2021 • Accident Rates by Gender and Region • Proportion of Management and Staff by Gender * Table:
In 2021, although the Company is worryingly concerned about the pandemic and the economy which consistently affect the overall residential property development business, it continues to focus on policies and welfares. They are important matters affecting livelihood and well-being of the employees. The Company is well aware of the necessity and importance of maintaining several welfare programs that help alleviate the burden of employees during difficult times. The Company has managed the risks and adopted policies that have the least impact on the important staff welfare. Details are as follows.
• Welfare
• Life/Accidental insurance
• Group health insurance
• Grant welfare
• Loan welfare
• Child scholarship
• Provident fund
• COVID-19 health insurance
• Social Security’s right to be vaccinated against COVID-19
• Other benefits
• Bonus
• Annual wage adjustment
• Annual level adjustment
The Company recognizes and respects human dignity and equality of individuals without any discrimination. Employees of the Company and its subsidiaries must treat each other and all stakeholders with respect and dignity. The employees, while performing their duties, need to conduct themselves properly in accordance with the Company’s rules and regulations and good traditions without causing any negative impact on the image of the Company.
Furthermore, the Company has realized the importance of labor. It will fairly treat both Thai and immigrant workers in compliance with labor laws, rules, regulations and labor related restriction.
In addition, the Company encourages staff with disability to take part in the Company’s activities. It organizes training courses on human rights for staff and community service staff. There have been six aspects of human rights promotion (for staff with disability), including:
1. Support and promote operation
including sharing work knowledge with colleagues and assigning key organizational tasks that are aligned with skills which are increasingly done via online channels this year
2. Support and promote learning and development of knowledge
including trainings to develop work knowledge and skills together with employees in the organization through sign language interpreters and trainings to develop on external knowledge and skills through online channels
3. Support and promote health aspects
including doctor visits for health care consultation and providing knowledge and understanding on self-care during the COVID-19 outbreak
4. Support and promote volunteerism
such as social benefit activities
5. Support and promote good relationships
including quarterly meetings of disabled staff, online employee gatherings to prevent the spread of COVID-19 and expressing concern for employees under supervision
6. Support and promote opportunity and quality of life
including COVID-19 vaccination support, offering covid-19 prevention campaign shirts to employees’ families, LPC Co-pay project
Number of grievances about labor practices filed, addressed, and resolved through formal grievance mechanisms
No grievance about labor practices
Number of grievances about human rights impacts filed, addressed, and resolved through formal grievance mechanism.
No grievance about human right impacts
G4-HR12
The Green Enterprise Standard Checklists of the Human Resource Management Office, all items were processed.
The Company is confident that having good relationships with trade partners does not only bring about collaborative success but also build a strong collaboration in going through crisis. The fact that the organization and stakeholders, in this case ‘trade partners’, are able to survive the 1997 economic crisis and continue operating their business operation indicates that business operation of the organization can truly create sustainability in the society.
Although strong identity and values of LPN together with concise risk management play a part in getting the Company through the economic crisis, having good trade partners who are cooperative and supportive during tough time is the turning point and has contributed to the Company’s success until now.
For more than 20 years, the “trade partners” have become “alliances” and are turned into “business alliances”. Now they have become “LPN Team” sharing business development and growth and working as if we are a part of each other. Thus, there are collaboration in every process of operation throughout the Company’s supply chain aiming to achieve the highest goal in supply chain management of the organization.
The Company realizes that to build this kind of business’s supply chain collective values and collective success must be create d. Operating profits do not guarantee business’s survival should there be another economic crisis. Creating collaborative responsibilities and tight bonds that allow business alliances to operate their business indicates that the Company can also maintain its business operation and both can achieve sustainable growth together.
01 02 03 01 02 COMMIT
The staff of the Company and LPN Team communicate with each other on a regular basis. It is two-way communication via WhatsApp and Microsoft 365 so that all participated parties are able to learn, share ideas and be up-to-date which generate utmost operational efficiency.
ASSESS
ENGAGE IMPLEMENT MEASURE
LPN finalizes the business plan.
LPN and LPN Team have a meeting to:
• Recognize the plan and establish collaborative goals.
• Listen to each other’s opinion and expectation.
• Identify and consider any impact that may happen while working together.
• Develop a possible risk prevention plan.
Participation of LPN and LPN Team in each project development.
LPN and LPN Team operate in accordance with the established work plan.
LPN and LPN Team organize a monthly meeting.
• Follow-up the work, assess the performances and analyze problems to improve the operation or adjust the operational plan as appropriate. This will help increase the efficiency of the operation in the supply chain.
Green Financial Management is the management of finance with the objective of achieving stable and sustainable business growth, operating performance that have appropriate and continuous profitable growth and balanced allocation of profit among all stakeholders. The financial ratio and expenses of the Company and subsidiary companies are properly managed to suit the income target and business plan of the organization. It includes the distribution of the dividend at the rate of no less than 50% of net income to shareholders, the appropriate remuneration for executives and staff as well as the establishment of selling price of condominium units to be cheaper than those of the competitors for the benefit of the customers. The Company has also allocated a budget to promote the quality of environment and society during project construction.
Furthermore, the preparation of the financial statement is transparent and auditable. Documents have been prepared on a quarterly basis to communicate the performance of the Company to the shareholders in order to build their confidence and showcase the importance of the financial discipline and financial risk management.
The Company realizes the importance of the accuracy and transparency of the financial statement and has arranged appropriate and efficient internal control system. Significant information is disclosed in the notes to financial statement along with the explanation and analysis to ensure that the accounting information is accurate and complete for the utmost benefit of the shareholders and investors in using the financial statement. The components of the accountable financial statement are as follows:
The financial statement of the Company is prepared in a transparent manner in accordance with the good corporate governance principles. The appropriate and efficient internal control system is arranged. The Board of Directors of the Company has appointed an Audit Committee comprising four independent directors, three of whom are knowledgeable in finance and accounting, to review the accounting policy and audit the quality of the financial statement as well as the internal control system. The report of the Audit Committee will be included in Form 56-1 and the Annual Report of the Company.
The Board of Directors of the Company has appointed the Audit Committee to oversee the operation and review both annual audit plan and long-term audit plan. The items in the financial statement are to be randomly audited and the outcome of the revision will be considered on a quarterly basis. Any issues found will be addressed in a timely manner. The Audit Committee opines that the internal control system of the Company is sufficient and effective and supports the development of the quality of audit work both in terms of personnel and operation to be of international standard.
The Company discloses sufficient significant information in the notes to financial statement along with the explanation and analysis to ensure the accuracy and completion of the financial information record for the utmost benefit of the shareholders and investors in using the financial statement, especially the disclosure and report of the prices of all pieces of land bought to the Stock Exchange of Thailand.
In order to ensure the transparency of the audit standard which will entail the sustainability of the Company, the financial statement of the Company is prepared in accordance with the financial reporting standard as prescribed by the Accounting Profession Act B.E. 2547. The brief items in the financial statement are prepared in compliance with the notification of the Department of Business Development, the Ministry of Commerce in 2011 regarding the requirement for the brief items to be shown in the financial statements, and in compliance with the regulations of the Securities and Exchange Commissions regarding the Preparation and Presentation of Financial Statements under the Securities and Exchange Act B.E. 2535.
The discipline and auditability in the financial management of the Company are ensured. The investment is controlled so that the capital of the Company is not invested in the business that is outside the area of expertise or in the activities that have conflict of interest with the Company. It is also made sure that the circulating capital of the Company is sustained to be sufficient for the payment of the remuneration for staff and all stakeholders.
Risks are taken into account in the investment or financial operation of the Company. Investments will not be made if the Company has to borrow more than we can afford to repay. Instead, the Company will invest with the existing resources and knowledge. The debt to equity ratio is maintained not to exceed 1:1 and is audited by the Risk Management on a regular basis.
Apart from Accountability Financial Statement Principle, the Company has developed its own checklist for Green Financial Management. The checklist is developed by Financial Management Department in 2018 as a management standard to be used by policy level to operational level. It focuses on transparency and has a good and effective internal control system. The allocation of returns to stakeholders is fair and appropriate. An important business goal is the continuous growth of the Return on Investment and profits. Thus, financial management plan and strategy should be appropriated and takes environmental and social responsibility into consideration in order to achieve sustainable growth.
Green Financial Management Standard Checklist
Standard 1
3 topics
• Goals: Identify the returns and the organizational growth properly.
Standard 3
3 topics
• Internal Control and Financial Risk Management: perform an effective internal control with good governance.
Standard 2
4 topics
• Equilibrium Returns: Create equilibrium returns or adequate and constant operational profits based on good corporate governance including sharing the returns to every group of stakeholders.
Standard 4
3 topics
• Financial Budget and Disclosure of Financial Budget Management and Accurate and Reliable Tax: disclose the information with transparency and verifiability.
The Strategy to Achieve Appropriate Return and Organization Growth
Under the framework of Green Financial Management principle, the Company gives emphasis on profit-sharing and balancing wealth with stakeholders in an aprropriate proportion to create economic value added which is a part of the country’s economic mobilization as follows.
1. Focusing on providing appropriate returns to trade partners and business alliances in terms of conducting business in both investment and construction processes.
2. Providing appropriate remuneration and welfare to staff and the teams so that they have good quality of life and good welfare.
3. Providing appropriate dividend payment to investors and shareholders.
4. Conducting business with transparency and paying tax to the government for the country’s development.
5. Allocating appropriate budget to community investment to develop a better quality of life for community and society.
as of 31 December 2019, 2020 และ 2021
In terms of financial management for sustainability, the Company has ensured that the financial management is transparent and auditable. The reporting and disclosure of the financial statement to the public are done on a regular basis as a listed company in the Stock Exchange of Thailand. In addition to the above, the financial management framework that emphasizes the importance of financial discipline is established. There are indicators to signify the status and follow up the operation of the Company to ensure that it is appropriately conducted. Financial risks are managed for continuous and steady growth and profits are generated from effective operational system. The operational performance is disclosed in detail in the Annual Report of the Company including the main indicators that support the sustainability operation.
Goal setting to maintain the returns and the corporate growth plays a part in determining the direction of business operation so that the corporate can sustain its returns and growth sustainably. This is done through the following financial indicators.
The Company maintains its policy that identifies the debt to equity ratio at 1:1. It creates the Company’s discipline and financial strength, reduces the risk of over indebtedness and, at the same time, maintain an appropriate growth rate.
The Company has identified the gross profit margin target that is appropriate with the operation and no less than the gross profit margin of the competitors in the market. The comparison to the competitors in the market is done to indicate the efficiency of the business operation.
The Company has identified the target of the earning per share and dividend payment at the proportion of no less than 50% so that shareholders receives appropriate returns. At the same time, the Company is able to maintain its investment money for continuous business expansion by considering the market competition ability for a sustainable growth.
23.44%
71.43%
The debt to equity ratio or debt ratio is calculated by dividing a company’s total liabilities by its shareholders’ equity. The ratio indicates what proportion of equity and debt the company is using to finance its assets. Higher debt ratio translates into higher risks of the company being unable to pay debts as they fall due either in time of profit or loss. On the other hand, a lower debt ratio usually indicates that the company’s major financing is done by its shareholders/own resources more than by creditors which will positively enhance growth and competitiveness in the market.
Gross profit margin is the proportion of gross profit and net sales volume of a company which indicates the efficiency of the business operation in terms of profit generation and cost management. A business with satisfactory gross profit margin implies the ability to achieve the highest sales volume comparing with the sales cost. However, the gross profit margin should not be too high as it may show that the customers, employees, trade partners and other stakeholders are being taken advantage of and that the company is not being socially and environmentally responsible which is against the policy to create a balance among all stakeholders of the Company.
The earning per share is the portion of a company’s net profit from the operational performance each year to be allocated to shareholders as dividends. It indicates the profit from the investment of the company. The Company will present the information on the earning per share to the Annual General Meeting of Shareholders to seek approval for dividend payment. This is the true indicator of the operational efficiency of the Company.
GREEN Design concept is the environmentally responsible design of products. The Company gives importance to the “Balance” of design and development of project from the process of designing the product and the layout of the project to minimize environmental impact and better suit all living lifestyles.
The location must be close to convenient facilities, public transportation system and express ways to reduce environmental impacts from large-scale project development as well as energy usage in transport.
LPN’s buildings are designed with an aim to generate a holistic approach to performance while creating spaces that are reliable, safe, comfortable and truly responding to residents’ needs. In the designing LPN has followed the LPN Green Design Concept Standard developed from the Green Building Standard of the U.S.A or LEED (Leadership in Energy and Environmental Design) and the Green Building Standard of Thailand or TREES (Thai’s Rating of Energy and Environmental Sustainability). Energy saving, environmental conservation and worthy utilization of resources are taken into consideration.
In addition, the Company has also applied international well-being standards like the WELL building standard in the design so that it can promote the living quality. Residents would, then, have good and sustainable physical and mental health. Main topics of the LPN Green Design Concept Standard are as follows:
The environmental impacts from project development are minimized by selecting the project locations which are highly populated on a main road and near convenient facilities. It must also be close to public transportation system and express ways which will directly help ease the traffic and reduce energy usage.
LPN opts for water-conserving sanitary ware within the projects according to the Green Label standard. Treated wastewater is used for the irrigation of green space in the project to reduce water usage as well as the discharge of wastewater into public drainage system.
LPN’s building design is an energy-efficient design. Having skylights lets in the natural light which will minimize the need for electric lighting. Insulation sheets and tinted glasses are installed to reduce heat transfer from outside which can save air-conditioning electricity. In addition, all LPN buildings must be assessed in accordance with the Building Energy Code of the Ministry of Energy since the design phase. This will ensure that the actual energy consumption can be reduced as set forth.
To ensure good quality products, the Company meticulously selects building materials considering from the durability, low maintenance and environmental friendliness.To reduce the use of primary resource, the design of LPN follows the Modular System concept to avoid material cutting and reduce residues. In addition, LPN also promotes the use of materials that contain recycled materials to reduce natural resources consumption. It also has a policy to promote the use of domestically produced products.
For healthy living and a good quality of life in every dimension, LPN gives emphasis on the design of space that promotes the creation of good and pollution-free health, the design of well-ventilated common areas and the installation of air purifier to enhance indoor air quality. Green space and exercising space both outdoors and indoors are provided to encourage residents’ exercising activities. In addition, the universal design principle is used to ensure that everybody in the community can fully and equally benefit from the space. In addition, the focus is on building discipline and culture of living together under the “Livable Community for All” concept.
With an intention to deliver the “Real Pleasure of Living”, every inches of LPN projects are designed using the information from our research and development so that the products and services can respond best to the needs of target groups in term of living and lifestyle. Moreover, the Company gives an emphasis to the increase of living value by developing common area and green space into community activity area in accordance with the “Livable Community for All” concept.
To diversify revenue and minimize business risks, the Company, in partnership with Nye Estate Company Limited (NYE), a property developer, has set up a joint venture Dolsiri Development in order to develop office buildings and retail stores for rent on Rama IV area which is a prime location, as it connects the current CBD in inner-city areas like Silom, Sathon and Rama III with Ratchaprasong, Ploenchit and Sukhumvit. The area is also easily and conveniently accessible by public transportation.
With modern building styles and perfect and worthwhile division of functional space, the PUNN office project has offered workspace that provides privacy including the utmost benefits from common space usage. Sharing Space is designed for limitless creativity through the following 4 key concepts.
Exciting design ignites creativity. At the same time, the discreetness, sturdiness and credibility of smart architecture are maintained.
Co-working spaces for new generations is wide open through the open paradigm. They can gain more idea and inspiration from many proficient people.
The space is designed to be practical. Essential and beautiful materials that are reasonable in price are carefully selected.
Modern style building is built for integration with technologies of the future to enhance the efficiency of the work of the next generation.
The PUNN Office project is also designed and constructed under the US LEED Green Building Criteria to help minimize environmental impact combining the best and most suitable elements from nature with technology to achieve a sustainable environment.
• Select a high-efficiency air conditioning and ventilation system equipped with a leading air filter system that can eliminate small particulate matter (PM 2.5) and humidity and also select an environmentally friendly cooling agent in the air conditioning system.
• Install a water meter system to monitor the water consumption and install water-saving sanitary ware that can reduce water consumption up to 40% in common areas.
• Indoor air quality is regularly monitored. Carbon dioxide and air flow sensors are available for good health of building occupants.
• Ten percent of the areas within the project are allocated as green spaces. Plants that are selected shall be easy to maintain and use less water, while making the project beautiful and shady.
• Select 3-layer glass (Low E Glass and Laminated Insulating Glass) to prevent outside heat while allowing natural light in thoroughly resulting in cool and comfortable interiors with sufficient indoor lighting.
• Select environmentally friendly materials that contain 20% recycled materials of the total material value and select structural and architectural materials and that are produced and transported domestically to reduce energy consumption in transportation.
The marketing strategy of the Company is designed to be in accordance with our determination to build the first high quality home at affordable price for the middle to lower-middle income earners in order to create a great quality of life and society for the residents in a responsible manner both before and after project handover. The marketing policy of the Company is fair, respects consumers’ right and treats the competitors with fairness. The 6Ps Marketing Strategy is as follows:
The Company strives to deliver unique product values both in condominium units and common area to the customers. The product values are developed from knowledge and experiences in project development to accommodate the lifestyle of the residents.
By managing costs and expenses in all production processes, the selling price of the product is affordable and competitive. The profit and terms and conditions of the installment payment for down payment are determined in line with the status of the target group. The Company also provides financial management services to customers to facilitate their loan application and create an opportunity for them to own a home.
The location of the sales office must be on or near project development site so that it would be accessible to the customers. All the details must clearly be stated and easy to understand without any hidden agendas.
In conducting sales promotion, the Company takes the benefits of customers and the Company into account. The sales conditions are fair and clear. The advertisement is creative with no hidden agenda.
The Company gives a great deal of importance to customers’ satisfaction. The standard of touch points e.g. sales officer, maid and security officer has been established and trainings which are in accordance with LPN Service Culture (S-E-R-VI-C-E-S) are provided on a regularly basis to bring about positive customer experiences and build up sales volume from referral. The net promoter score measuring customer loyalty is the guarantee for after-sale services. There are also various channels for submission of complaints and suggestions for service improvement.
All processes must provide convenience for customers. The reservation making and contract signing processes must be simple and speedy. Various payment channels and methods must be in place. The deposit forfeit and return must be considered carefully and consider the concerns of customers. Also, the Company makes an attempt to minimize complaints arising from high expectations of customers by highlighting important issues in the reservation agreement and communicating with customers for mutual understanding.
The Company has established Green Management Standard Checklist to be used as a standard for fair operation of marketing communication in response to the Green Marketing Management Strategy of the organization. The checklist is a voluntary code of ethics that the organization establishes by itself and use it for internal evaluation to ensure that marketing activities or ma rketing communication are done in a fair manner in order to create the best experience for customers and maintain social responsibility at the same time.
The 7P principle comprising of Product, Price, Place, Promotion, People, Process and Physical is used to identify each practice As a result, there shall be a sustainable marketing management standard, straightforward and unexaggerated advertisement of products and services and advertising messages that do not take advantages of consumers nor lead to misunderstanding of essential issues.
• Hand over product values as promised.
• Inspect the products prior to each handover.
• Provide an insurance and a post-handover service.
• Price and payment condition are appropriate and match the target groups.
• Profits are appropriate and match the target groups.
• Sales office is ready to serve customers as specified.
• Launch clear and transparent advertisement and sales promotion with no hidden agenda and no attack on competitors.
• Promote home ownership with “Baan Sarn Fun” project.
• Establish Human Touchpoints.
• Train and educate the staff and include the Code of Conduct trainings.
• Establish a clear and accurate communication standard for salesperson to communicate with customers.
• Do not violate Right to Privacy.
• Sales and purchase condition must be in line with the regulation of the Office of Consumer Protection Board (OCPB).
• All types of sales documents must be clear, transparent, unambiguous, no hidden agenda, and verifiable.
• Train salespersons to become product and financial consultant.
• Give justice to customers in case of a loan rejection or a cancellation of purchase agreement out of necessity and provide them refunds.
• Provide complaint channels for customers to report any problem regarding products or services.
• Hand over “Livable Community” as advertised i.e. having Co-Dining or Co-Living area.
The marketing activities that are fair to the customers
Customer Experience Management through Touch Point is provided at 3 periods: before purchase, during purchase, and after purchase. LPN gives importance to the most important stakeholder of the organization which is the customer. The emphasis is put on creating good customer experience, analyzing, developing and matching customer service with customer life cycle and improving customer satisfaction to build brand loyalty. This is a part of our sustainable development goals.
The information provided to customers must be completed and accurate to support informed decision-making of customers. Customers must be able to access information from various sources and the quality of services provided must be impressive.
The customers must be informed of the project progress and operation process of the Company so as to build up their confidence in the project and service value and to be prepared to move in.
After the condominium unit is handed over and the customers move in, their quality of life and safety are taken care of and managed under the concept of “Livable Community for All”.
The Company creates customer experiences through both human and non-human touch points. The corporate touch points are identified as follows.
The Company welcomes customers’ feedback and opinions since it strives to improve and develop its products. Complaints will be managed and solved through complaint management process after they are received through four channels. In 2021, the Company has opened a direct communication channel with customers through the Line program. That channel has been developed until the Company can communicate and provide various services to increase customers’ convenience in the digital age.
Tel 02-689-6888, every day from 8.30-19.00 hrs.
From the above channels, the Company received a total of 515 feedbacks for development. They are categorized as follows:
In the past year, the Company has had more projects on hand from the growth in community management business. It has added a LINE Application channel for receiving customer complaint directly. Although the number of complaints received has slightly decreased in the past year, the Company still pays attention to the feedback from customers, which is important information that will be used to improve the service.
The Company compiles and categorizes complaints so that the information can be used in the operational development and improvement, particularly those involve the delivery of product and service values to customers. The complaints are categorized into two groups i.e. Product Value and Service Value. Each step of feedback and complaint management process is as follows:
Receive complaints from various channels
- LPN Care, Website, Call Center, Line, Facebook
- Direct call to staff
- External website e.g. pantip.com
- Executives
Inform the related department within one day and record it in the complaint system
Related department acknowledges the complaint and contacts the customer within one day after being informed of the complaint
Take action to solve the problem and record the outcome in the system and inform the customer of the proposed solution
Related department reports the outcome of the action taken to the Customer Experience Management Department and executives
Contact the customer to follow up on the issue
Prepare a monthly report to be submitted to the executives and related department
File the report and share interesting case studies with other staff in the knowledge sharing session
Service Evaluation system was used to evaluate the level of satisfaction with services and the Net Promotor Score (NPS) this year. Customer satisfaction will be evaluated right after services are rendered. The system will report the evaluation result if it failed to reach the Company’s standard. The Company will contact the customers to get more details about the unsatisfied services or the customers’ needs for further improvement.
• Satisfaction with Services
• Net Promoter Score: NPS
Besides managing the existing customers’ complaints or feedback, the Company manages to come up with guideline for prevention of repeated complaints to guarantee customers’ satisfaction and highest benefits. One of the guideline is that complaints shall be used as case studies and shared with related staff. The guideline succeeding complaint management are as follows:
1.
Respond within an hour of receiving the complaint.
2.
Use repeated complaints as case studies and prepare Q&A in advance.
3.
Manage complaints according to the level of urgency and impacts on customers.
Developing the connection between customers and the organization
Over the past year, living with the COVID-19 situation has caused various behavioral changes, especially online behavior. The Company therefore focuses on developing online services to better meet customers’ needs especially the development of services via LINE LPN Connect.
LPN Connect provides services to customers on the LINE platform to reduce customers’ anxiety and increase their convenience. The customers can access various services without traveling to the sales office and the juristic persons office.
From the launch in the past 2021, there are more than 100,000 people using the service. In the “Services for Residents” category, the Company has developed a more comprehensive online service in response to convenience and changing behavior of service users.
1. Customer service during the down payment, installment payment system, electronic receipt, and project progress news
2. Self-service appointment booking, starting with “Jaew Lumpini” cleaning service and condominium unit maintenance service, which is convenient for customers since they can schedule an appointment 24 hours a day
3. Common facilities booking service such as fitness center, swimming pool and utility room to decrease congestion and maintain social distance
4. Parcel service which parcels can be received and sent at the residential project to reduce travel and increase living convenience
5. Community news service which serve as a news channel reporting what is happening in your community
The Company plans to increase online service and improve various online service provision constantly. This is to enhance service excellence and respond to customer needs and living behavior that has changed according to social conditions. The goal is to create the highest satisfaction in using the service and living in “Livable Community”.
Green Construction Process is the management of environmental and social impacts from the construction process which affects the environment and society the most. The Company has continuously developed the construction process by increasing the efficiency of the operation and reducing the environmental and social impacts through new technology and innovation. The Q-C-S-E-S+P strategy is developed as a guideline for construction operation for both the staff of the Company, business alliances who desig n the project and contractors. The environmental responsibility and safety of workers and related persons are particularly emphasized. The Q-C-S-E-S+P strategy is as follows:
It is the management of project construction by emphasizing the quality of products i.e. common area and condominium units that meet the expectation of the customers.
The costs are carefully controlled and managed not to exceed the estimated amount. Both direct and indirect costs such as material costs, labor costs and other construction and operation expenses are managed to maintain the benefits of all stakeholders.
It is to ensure that the construction and operational process are completed in a timely manner to reduce the risk of project delay.
It is the responsibility towards the environment to reduce the impacts both in the construction site and on neighboring communities during the construction process. The measures to reduce the environmental impacts indicated in the Environmental Impact Assessment (EIA) report are to be strictly implemented.
The Company ensures the safety of construction workers and related parties during construction by establishing a strict operational standard in terms of safety to prevent any accidents that may occur. Moreover, the Company also stresses the importance of occupational health and good quality of life of construction workers.
It is to manage the impacts on the stakeholders. The Company gives importance to the labor rights and quality of life of the construction workers that are normally ignored by other business operators, the responsibility towards neighboring communities of the construction site as well as mutual growth and development with the business alliances or trade partners. The communities and environment surrounding the construction site are also developed.
The LPN Green Construction Process Standard has evolved continuously since 2016. It was established in collaboration with business alliances in the construction sector. It aims at preventing impacts from construction activities. This standard has been developed from international environmentally friendly construction criteria such as the US LEED Rating System, TREES Green Building Rating System of the Thai Green Building Institute including pollution control standards from the Pollution Control Department, Ministry of Natural Resources and Environment so that the LPN’s standard can cover all dimensions of operations.
The standard for condominium projects is divided into 7 sections in accordance with the project development steps from the pre-construction work to the handover and the welfare of workers’ camps. The standard comprises of 71 operations and the goal is to achieve more than 90% of those in every under-construction projects.
The Green Construction Process Standards for residential projects is still under development. In the pilot version of the standard, there are 4 sections as follows:
1. Studying and surveying neighboring buildings and doing pre-construction work including general work,
2. Construction of roads, bridges, dams and internal wastewater management,
3. Construction of model houses and common buildings,
4. House construction.
There are 47 items in total. They will be tested in residential construction projects. Data is collected for standard improvement and further goal setting. It is scheduled to be officially used in 2023.
All construction activities taking place within the LPN project must strictly comply with the established construction standards. There will be measurements, data collection and processing at every step of the operation to prevent pollution or damage to the environment and neighbors. Such standards will cover 4 types of pollution control as follows:
LPN emphasizes on managing wastewater that comes from construction activities. Temporary drainage ditches are built to prevent water in the construction site from flowing out to neighboring areas. There are sedimentation ponds and treatment ponds within the construction site. All wastewater must be treated to a standard before being released to the public system.
The quality of treated water has been monitored on the following parameters: pH balance (pH), Suspended Solids (SS), Total Dissolved Solids (TDS), Biochemical Oxygen Demand (BOD), Total Suspended Solids (TSS), Oil & Grease (O&G), Total Kjeldahl Nitrogen (TKN), Sulphide value and Fecal Coliform Bacteria (FCB).
LPN has strict operational measures to prevent dust and air pollution no matter it is prevention of soil erosion, restriction of areas for activities that cause dust, covering buildings with canvases during construction or water springling to reduce dust emissions. The air quality within the construction project will be measured by experts every month to ensure that the amount of dust does not exceed the set standards.
The monitoring of air pollution has been done on the following parameters: Total Suspended Particulate (TSP), PM-10, Sulfur Dioxide (SO2), Nitrogen Oxide (NO2), Carbon Monoxide (CO) and Hydrocarbon (THC).
During construction, noise and vibration created by several activities may disturb neighbors. Therefore, LPN has taken measures to control and prevent noise and vibration in all activities that may pose such risks, such as piling, using noisy equipment or moving large construction materials. The measurement tool will be used and the results will be recorded at all times.
The monitoring of noise level has been done on the following parameters: average noise level over a 24-hour period (Leq 24 hours), maximum noise level (Lmax) and noise nuisance.
The problem from construction waste is another issue that can have a wide impact. Moreover it is the cause of other pollution. LPN, therefore, has established measures to manage waste originated by project development. The waste generated from construction activities will be segregated and disposed of according to the type of waste, e.g., general waste, hazardous waste, and recyclable waste.
Data recorded includes the amount of waste generated within the construction project separated by type.
In addition to managing the construction process to deliver quality products to customers, the Company also gives importance to the care and the promotion of welfare of construction workers who are the work force behind the completion of the construction process. We believe that construction workers should have the same quality of life as employees working in other departments of the organization.
The Company has continuously developed the LPN Green Construction Camp Standard to take care of the well-being and welfare of construction workers in their camp to ensure that the environment of the camp is appropriate, safe to live and safe for living. This is considered as a part of building a good quality of life for construction workers working in our projects.
Taking care of the quality of life of LPN construction workers includes ensuring their personal sanitation and providing them with standard, safe and hygienic camps. In addition, the company has implemented various projects to promote good hygiene for workers including annual medical checkup, first aid and medical use training, vaccination against diphtheria, tetanus and rubella, randomized drug testing and organizing morale building activities. Moreover, the company also builds a small-child center which is a safe zone for children. Parents can leave their children there while going to work. There will be people supervising and teaching the children during that period as well.
Besides dealing with impacts of the construction, it is the Company’s policy to build relationship with neighboring communities. Coordinating with community leaders, the Company’s officers will visit and survey the public space of the communities and related agencies surrounding the projects before construction. The priority is given to the areas that are adjacent to the project or the sensitive zones which may be affected more than other areas. The neighbors will be asked for their opinion on environmental problems, possible impacts of the construction, concerns relating to the construction as well as their environmental and social activities that need support. The Company will help coordinating and taking action in order to build good relationship with them and minimize subsequent complaints
Before the construction, the environment around the project is surveyed, the map of neighboring houses indicating house number, name of owner and telephone number is prepared and the officers visit the neighboring houses to introduce themselves.
Visit neighboring residents to build good relationship with them, listen to their concerns and ask about the impacts with them.
Establish pollution prevention measures
Put up canvas for dust and noise prevention, clear up the site, build temporary houses for workers, etc.
Monitor the environment and follow up the progress
Regularly monitor the surrounding environment and take immediate action when a problem is found.
Establish pollution prevention measures
Should there be any impacts or damages caused by the construction, they must be resolved immediately.
6.1 Feelings of neighboring residents
6.2 Problems and solutions
6.3 Points for improvement and outcome
Assess the performace Take action to solve the problem
In 2021, L.P.N Development Public Company Limited has 4 under construction condominimum projects. All of them have followed the 71 items of the Green Construction Process Standard throughout the construction. The outcomes of the inspection are as follows:
Lumpini Place Taopoon Interchange
Lumpini Ville Chaengwatthana 10
Lumpini Selected Charan 65 - Sirindhorn Station
Every project can comply with all items of the Standard and the average overall performance of all projects is 100% which is according to the set target.
The Green Construction Standard for residential home has been tested in 8 residential home projects. The outcomes are as follows:
Phahonyothin - Saphanmai
Lumpini Townplace Rama 2 - Tha Kham
Lumpini TownVille Ratchaphruek - Pinklao
Lumpini TownVille Ladkrabang - Suvarnabhumi)
Lumpini TownVille Lat Pla Duk - Bang Phai Station
Lumpini Townplace Sukhumvit - Srinakarin
Baan 365 Muangthong
The overall performance of all 8 residential home projects according to the pilot version of the standard is at 88.5%. Data from the evaluation will be used for the operational development and for setting goals of green construction standard for residential homes in the future.
Note: In the third quarter there is no Green Construction Process Standard inspection since the government ordered the closure of workers’ accommodation as a result of the COVID-19 outbreak.
Waste at construction sites can be divided into two categories i.e., construction waste and household waste of construction workers. Each category needs to be managed differently. Household waste created by construction workers or general waste will be collected and sent to related government agency for disposal. Regarding construction waste, even though the LPN projects have been designed using modular system to reduce wastage of material to the minimum since the beginning of the process, it is still unavoidable to generate scrap or construction waste. The Company has a specific waste management procedure which includes segregation of waste by type, control of dumping areas, measures for material relocation from the project front as well as a policy to reuse some construction materials in next projects.
Construction Waste Household Waste from Construction Workers
Recyclable Material General Waste Hazardous Waste
Wood scraps / Metal scraps / Aluminium scraps
Recyclable Material
Cement / Gypsum
Recyclable Waste
Collected and sent to related government agency for disposal
Note: Due to the severe COVID-19 situation in the past 2021, the Company faced limitations in resource management. Moreover, it was necessary to expedite the removal of waste to the waste disposal site as soon as possible to reduce waste accumulation in the project. In addition, the closure of worker camps during the outbreak made it difficult to collect information regarding construction waste. Therefore, the amount of waste could not be recorded as in the previous year.
The responsibility of real estate developers should not be ended when the “residence” is handed over to the customers. The building and environment should also be managed and maintained afterwards. However, the Company has realized that there are more to project development and thus developed building management guideline and community management strategy to promote gracious culture and harmony of living together in the society.
During the past 32 years, the Company has created and handed over a “home” to members of more than 130,000 “Lumpini” families and taken care of the environment and quality of life of the residents and neighboring communities via “Livable Community” strategy. The Company does not only ensure the safety and standard of the equipment but also the safety of the community, the happiness of the residents as well as environmental awareness of the residents on a regularly basis in accordance with the F-B-L-E-S+P guideline. It is developed from extensive community management experiences with the aim to deliver a great quality of life, environment and society to the residents. The details are as follows:
It is to maintain the efficiency of common properties including facility usage management during the Covid 19 outbreak. There must be cleanliness standards and social distancing while using, no matter they are architectural structure, convenient facilities or various systems in the building e.g. elevator, electricity generator, electrical system and sanitation system, to ensure that all components of the building function normally and are safe to operate.
It involves the management of budget for condominium juristic person to be in line with the policy approved by the Annual General Meeting of Joint Owners as well as the management of the stability of the fund for the financial stability of the community. A financial report that is easy to understand, transparent and auditable will also be prepared.
It is the management of the quality of life of residents encouraging them to comply with the regulations of condominium and single home, ensuring their comfort and convenience and issuing COVID-19 prevention measures in the residential area. This is to entail the harmony of living together happily and ‘Togetherness, Care and Share” culture. Various activities are organized to build good relationship within the family and for community development among “Lumpini” members.
The Company puts very much emphasis on environmental issues. Green Clean Lean concept is promoted and various activities are implemented such as tree planting activity, increase of green space in the community and neighboring community, waste segregation program, Effective infectious waste disposal, waste water treatment, reuse of treated waste water in the project, energy conservation campaign and promotion of renewable energy.
The security and safety management starts from designing the project plan, inspecting and maintaining the standard of equipment system such as closed-circuit television, alarm system and communication system and training security officers regularly, including COVID-19 prevention training and hygiene project monitoring. Participation of community members and related government agency is also promoted to enhance the utmost security of the members of the community.
The Company gives importance to the management of related persons in community management whether it be Community Management Department, Juristic Persons Committee or the residents to ensure their satisfaction. The problems and conflicts between residents that may affect the community are also managed. In 2021, the hygiene practice to protect community members from the COVID-19 disease focuses on COVID-19 prevention standard in residential areas. The Company sets a policy guideline on the care of community and community residents in community management for the juristic committees especially the Chairman of the juristic committees so that the community management is in the same direction. Building a sustainable community includes the following elements:
i.e. executives, Community Managers and the management team, all of whom play an important role in promoting the sustainability of the community. The Company has developed their capacity through various training programs as well as promoted service culture for the success of the “Vibrant Community” strategy.
i.e. the residents in the project inclusive of the joint owners and renters. Different activities are organized by the management to promote the concept of co-existence in the community, reduce environmental impacts, promote a good society and create vibrant community.
i.e. the representatives of the stakeholders in the project. They drive forward the process of implementing the concept of vibrant community in the project by building the knowledge and understanding of the Chairman and committee members.
The Green Community Management Strategy is established in response to “Livable Community” concept of the Company. Two important groups of stakeholders are customers and neighboring communities. We need to consider our customers as our family members and ensure that they, together with neighboring communities, have a good quality of life in accordance with the FBLES+P guideline which includes Facility, Budgeting, Life Quality, Environment, Security and Safety Management and People Management. The performance in 2021 are as follows:
Number of communities:
Number of children and youth: Areas: (sq.m.)
Number of working-age people:
Families:
Number of elders:
On World Environment Day 2021, the United Nations launched Decade on Ecosystem Restoration aiming at restoration of ecosystems. The determination for this year is restoring the ecosystems and assisting in the reverse of the ecosystem degradation caused by various activities such as pollution and deforestation. The ecosystem can be restored by conserving the intact ecosystems by raising inspiration and awareness of nurturing the earth. For example, the re-planting of 10,000 million trees under the Bonn Challenge project to restore areas ravaged by human activities or reforest clear cut forest areas. Businesswise, Green Bonds investment focuses on raising funds to finance environmental projects.
The Company has focused on conducting business with environmental and social responsibility continuously and increasingly. It also concerns about impacts of various environmental problems and support environmental innovations; therefore, it establishes an organization’s strategic plan focusing on environmental and social responsibility including waste management, electricity and water conservation, and hygiene care as follows:
Due to the coronavirus disease 2019 (COVID-19) situation, masks have become a daily necessity, generating more and more infectious waste every day. When managed improperly, they will affect the health and environment of community residents. Therefore, the Company has established an infectious waste management guide which serves as a model for each community to follow.
1. Provide specific trash cans with tight-sealing lids for disposal of used masks / cloth masks, attach symbols, pictures, and wordings that signify used masks and place them in a clearly visible collection point.
2. Continuously educate community residents about disposal of used masks / cloth masks.
3. Urge community service staff to wear protective equipment while collecting infectious waste to reduce infection risks while working.
Waste generated in Lumpini community can be categorized into four types, namely, food waste, general waste, recyclable waste and hazardous waste. In 2021 the average of 1,251 tons of waste is generated per month, decreasing 10% from the previous year.
Looking at the average per day data in detail, it is found that after promoting community waste segregation, recyclable waste increases from the previous year due to an increase in delivery services during the COVID-19 pandemic. 94.76% of waste are food waste and general waste (decreasing from 96.33% in 2020). 5.10% of waste are recyclable waste (increasing from 3.61% in 2020). 0.14% of waste are hazardous waste (increasing from 0.06% in 2020).
The components of condominium waste are studied in order to compile information on the amount and types of all waste generated and the current waste management system. The information will be used for improving the efficiency of the waste management system in the community. The Company’s goal is to handle waste in a sustainable manner in accordance with the Circular Economy principle. Waste is managed by the reuse, recycle and re-material process for the worthwhile use of resources and the reduction of environmental pollution.
Electricity used in condominium units accounts for 70% of all electricity consumption in the community. The other 30% is the electricity used in common area and building systems e.g. elevator system, water pumps system, wastewater treatment system, lighting system, main electricity system, swimming pool, fitness equipment, air-conditioning system and others. In 2021 the average electricity used in building systems and common area (calculated from 147 projects) is 4,726,700 units (kWh) per month or 56,720,400 unit (kWh) per year, increasing 5.23% from the previous year and costing 17.49 million THB per year.
In 2021, the electricity consumption in building systems and common areas is:
147 Communities participant an average of = 4,726,700 unit (kWh) per month from the previous year
Decreasing 5.23%
In 2021 the Company runs a campaign to promote energy conservation. Electricity in common area is turned off for an hour on every third and fourth Saturday of the month. 147 Lumpini communities take part in the campaign. Electricity usage decreases 6.19% when compared to 2020. The Company is able to save on average 498,300 baht on electricity bills.
Amount of the electricity consumption in common area
The Company installs power consumption control devices and chooses energy efficient equipment and machines such as the installation of Variable Speed Drive on Condenser Water Pump to save energy and achieve maximum efficiency and the change of all light bulbs to LED bulbs. The measures implemented to save energy in common area will not affect the daily life of the residents.
Encourages the residents to participate in the energy conservation by turning off the electricity in the common area for an hour from 8.30 P.M. to 9.30 P.M. every third and fourth Saturdays of the month, turning lights on/off during a certain period of time and turning off air-conditioners during lunch break and before getting of work.
and minimizing the operation of some water pumps used in the treatment system
The Company improves and minimizes the operation of some water pumps used in the treatment system. Lumpini communities along the sewage pipeline of Bangkok Metropolitan Administration or local authorities channel primary treated wastewater within Lumpini communities to the drainage pipe system so that it enters the wastewater treatment system of Bangkok Metropolitan Administration or nearby local authorities. As a result, Lumpini communities can reduce electricity usage and maintenance costs of wastewater treatment system. In this regard, every Lumpini community will measure the quality of the primary treated wastewater on a monthly basis.
From 2019 to present, Solar PV Rooftop has been installed in three projects as an alternative source of energy. The progress of each project is as follows:
1. At Lumpini Place Rama 9-Ratchada project, the electricity usage in common areas decreased 19.3%. The electricity cost decreases 42,700 THB per month in average (when compared to electricity usage before Solar PV Rooftop installation).
2. At Lumpini Place Rama 8, the electricity usage in common areas decreased 15%. The electricity cost decreases 22,500 THB per month in average (when compared to electricity usage before Solar PV Rooftop installation).
3. At Lumpini Tower, the electricity usage in common areas decreased 8.9%. The electricity cost decreases 42,200 THB per month in average (when compared to electricity usage before Solar PV Rooftop installation).
Water used in Lumpini communities is distributed from Metropolitan Waterworks Authority and Provincial Waterworks Authority. In 2021 the average water use is 836,900 cubic meters per month. (January - December 2021) The average used water or wastewater released is 669,500 cubic meters per month, accounting for 80% of all water in the community. Some of the water evaporates naturally.
The remaining 167,400 cubic meters per month or 20% of all water use will be reserved for future use.
Wastewater will be treated before being released into natural water resources. In 116 Lumpini communities, wastewater is treated by the wastewater treatment system of the communities. In 47 Lumpini communities, it is treated by the central wastewater treatment system of Bangkok Metropolitan Administration or local authority. Around 0.44% of treated water will be reused for watering plants, cleaning streets and cleaning wastewater treatment ponds inside the communities. The remaining 99.56% of the treated wastewater will be released into natural water resources.
GREEN COMMUNITY MANAGEMENT
Covid-19 situation in the community as of December 31, 2021
Cumulative infected cases: 3,039
Number of juristic persons: 184
Hospitalized cases: 490
Cases under home isolation: 62
Recovered cases: 2,487
Number of people registered in the LPP Home Isolation system : 166
In 2021, the incidence of COVID-19 pandemic was significantly multiplied, the Company, thus, has strengthened both reactive and proactive community management measures in preparation for the impact of the COVID-19 pandemic. It has focused on maximizing both physical and mental health safety of all groups of stakeholders attentively and strictly. The number of infected people in Lumpini community was closely monitored on a daily basis in order to prepare a reactive plan. The overall situation was constantly reported to Juristic Committee of every project. At the same time, the first online committee seminar was held to raise awareness of the impact of the COVID-19 on community management. More than 420 members of juristic committees and personnel attended. A qualified speaker, Dr. Nart Fongsmut, an expert in elderly care from the Thai Red Cross Society, was invited to share her knowledge with Company’s staff and personnel regarding the project preparation to assist COVID-19 infected patients with no severe symptoms or green group patients under home isolation. This would maximize personnel readiness in handling the outbreak that could become more severe in the future. In addition, the committee seminar was also a space for sharing good community management concept from each community, creating good relationships and instilling the Together, Care and Share culture within the “Lumpini” family.
Regarding COVID-19 outbreak prevention measures in community setting, after brainstorming and studying government measures and foreign cases with medical advisory partners, the Company has developed processes and come up with the following Cause We CARE strategy.
Preparation and caution by developing a community management plan and determining hazard prevention procedures to ensure a healthy living together in short, medium and long term.
One hundred percent of the organization’s employees have been vaccinated and practicing the 12 principles. The Company has strictly managed the community during the COVID-19 pandemic. Emergency bags and necessities have been prepared for every community. The Company focused on communication and creation of understanding among employees, residents and juristic committees using the information provided by reliable medical staff so that they could deal with the pandemic situation in a timely manner. The common areas and various touch points were cleaned more frequently to ensure that they are always sterile. The touchless service technology such as the LPN Connect application and physical modification of projects were applied in order to reduce the risk of infection spreading.
Provision of care and support through coordination and facilitation of various matters to give the most convenience to residents and make everything easy, safe and fast
The Company developed the LPP Home Isolation system through the LINE application to support the increased number of residents who needed to stay in the community for recovery according to the Livable Community Isolation project. It was also a mean to facilitate the coordination of patient registration with government agencies, the delivery of food, water and necessities, the door-to-door collection of infectious waste and the daily symptom enquiry in order to prepare for the coordination with hospitals, government agencies, and relatives of residents in case of emergency. Lunch for home quarantine patients was also sponsored by the Company to ease their burden and express the Company’s concerns for residents during their quarantine. Buying the lunch from local food shops affected by the COVID-19 outbreak was also a way to help them.
Provision of emergency assistance by support teams including efficient central functions and reliable business alliances to alleviate the suffering of residents
The Company opened an Emergency Operation Center and a hotline number to help coordinate with support teams from central administration, allied hospitals and government agencies in requesting emergency assistance 24 hours a day. Safety of the infected people and residents of Lumpini community was the primary concern. This included coordinating and isolating the areas before transferring patients to the hospital and cleaning and disinfecting immediately along the conveying path to reduce the chance of outbreak in the community.
Understanding and being ready to take care of every feeling, which derived from the “Together, Care and Share” culture embedded in the hearts of stakeholders involved in community management, including employees, residents and business alliances
In order to create a good culture of living together in the community and reflect the F-B-L-E-S+P approach regarding residents’ Life Quality Management, the Company has developed an “Offering Morale Support to Quarantiners“ function. It was a channel for residents to create best wishes ecards via LINE LPN Connect and send them to those recovering in the community through the LPP Home Isolation system. This would create warmth and good relationships among Lumpini family and welcome them back to normal life after recovery period. There were more than 900 ecards sent from both residents and employees in the organization (as of December 31, 2021).
The LPN Zero Waste project was initiated in 2019 as the Company has a goal to become a waste-free organization. The project raises awareness about the impact of waste generated in every process of the operation starting from the head office, sales office and within juristic person managed by the Company to the final process of waste management. Details of works done in 2021 are as follows:
The Company, together with LPN Team, manage waste generated by construction sites and make maximum use of the discarded materials. There are waste segregation policy and a policy to reuse usable materials in other projects.
To encourage residents of Lumpini community to sort waste on a daily basis, the Company has established waste segregation areas and provided containers for various types of waste within the Lumpini community. Waste is categorized into four types, namely, food waste, general waste, recyclable waste and hazardous waste. All bins are labelled and samples of such type of waste are clearly displayed. This allows residents of the community to properly segregate waste which helps reduce the workload of waste segregation officers. They can properly dispose each type of waste or use the right waste management process.
In addition, the Company has continuously monitored and recorded the amount of waste generated within Lumpini Community. In 2021, the average of 1,251 tons of waste is generated per month (from 134 projects). 94.76% of waste are food waste and general waste. 5.10% of waste are recyclable waste. 0.14% of waste are hazardous waste. (Information as of December 2021).
This project handles the multilayer flexible packaging materials (foil sachet). The objectives are to build a model, encourage participation in handling foil sachets and promote circular economy. Five entities participated in this project include:
1. L.P.N. Development Public Company Limited
2. Nestle (Thai) Co., Ltd.
3. Best Polymer International Co., Ltd.
4. The Federation of Thai Industries
5. Thai Beverage Recycle Co., Ltd.
The goal of the project is to recycle foil sachets into artificial wood to produce 2 sets of lawn tables. At least 30,000 foil sachets are needed for the production. The lawn table sets will be given to Lumpini Place Boromratchonni - Pinklao project, which is the operation area. In the project, there are containers for foil sachets. Every second and forth Saturday of each month from September 2020 to March 2021, one can bring 10 clean-dried Foil Sachet in exchange for 1 Nestle’ product. Throughout that period, 85,928 foil sachets are collected which is 186% of the target.
Greenhouse gas is a factor of global warming and global climate change. Therefore, the Company aims to become a Carbon Neutral Organization by creating a Carbon Offsetting plan and continuously improving the organizational environmental management.
The Company has assessed greenhouse gas emitted from its operations and activities all year round and produced a corporate greenhouse gas emission report using the historical data of 2020 (data from January - December 2020) to estimate greenhouse gas emissions. The assessment is divided into 3 scopes as follows:
Scope 1:
The organization’s direct greenhouse gas emission which is fuel
Scope 2:
The organization’s indirect greenhouse gas emission which is electricity
Scope 3:
The organization’s other greenhouse gas emission which is paper
From the assessment of the organization’s greenhouse gas emissions in 2020, the greenhouse gas emissions of the Company were
1,323 tons of carbon dioxide equivalent.
Picture : Carbon Footprint for Organization Certificate
In addition, there are online trainings to educate and raise environmental awareness among employees. This expresses the commitment of the organization to help reduce the environmental impacts of the organization especially the reduction of impacts related to activities contributing to global warming. As a consequence, this will bring about solutions to the problems and activities causing greenhouse gas emissions can be minimized.
*Calculated from the direct greenhouse gas emissions and the indirect greenhouse gas emissions from electricity consumption of the head office.
In addition, the Company participates in the Low Emission Support Scheme (LESS) organized by Thailand Greenhouse Gas Management Organization (Public Organization) to encourage and support simple operations or activities that reduce greenhouse gas emissions. It allows the Company to start raising awareness for the organization to take part in greenhouse gas emission reduction and conduct environmentally friendly activities. A Letter of Recognition is presented to the Company to honor good works.
In 2021, the Company requests to be certified for the assessment of the greenhouse gas quantity that can be reduced from the waste segregation activity of its 3 projects. On 1 July 2021, the Company received a Letter of Recognition from Thailand Greenhouse Gas Management Organization (Public Organization) as follows:
• At Lumpini Place Ratchayothin project, 85.910 tCO2e of greenhouse gas emission are reduced during the period of certification from 3 May 2020 to 1 May 2021.
• At Lumpini Suite Dindaeng - Ratchaprarop project, 9.684 tCO2e of greenhouse gas emission are reduced during the period of certification from 22 June 2020 to 28 May 2021.
• At Lumpini Condo Town Bodindecha - Ramkhamhaeng project, 4.101 tCO2e of greenhouse gas emission are reduced during the period of certification from 25 April 2020 to 1 May 2021.
The Corporate Social Responsibility (CSR-in-process) is an important strategy that helps minimizing negative impacts caused by the Company on communities in a sustainable manner. The Company does not neglect the responsibility toward society and environment. It strengthens the relationship among residents according to the “Livable Community” concept by creating relationship building activities, doing good deeds for the society together.
In the past 2021, to avoid the outbreak of the Covid-19 virus that has been spreading consistently, the Company has developed safe activities to reduce infection risks and negative impacts on personnel and stakeholders in community by encouraging continuous engagement with environment and external society. Joint activities between the community and external agencies are as follows:
The Company plays a part in managing and providing blood supply from Lumpini community blood donation units to the National Blood Center, Thai Red Cross Society under the “Lumpini Donates Blood” campaign every year. In 2021, blood donation activities are divided into a normal blood donation program according to the share policy and a special blood donation program to help with the situation of COVID-19.
1) Blood collected from the general blood donation program of the Company is 1,751,000 cc, increasing 24% from 2020 (cumulative data from January-December 2021).
In total, Lumpini has 15 blood donation units (increasing 4 units when compared to year 2020) as follows:
Lumpini Megacity Bangna (LM - BN)
Lumpini Tower (LUM - T)
Lumpini Sukhumvit 77 (L - SK77)
Lumpini Ville Chaengwatthana - Pakkret (LV - CP)
Lumpini Condotown Ramindra - Nawamin (LC - RN)
Lumpini Group Ramindra - Laksi (L - RL)
Lumpini Condotown Bodindecha - Ramkamhaeng (LC - BR)
Lumpini Park Nawamin - Si Burapha (LPark - NS)
P.S.T. City Home (CTH)
Lumpini Park Pinklao (LPark - PK)
Lumpini Township Rangsit - Klong 1 (LTS - RK1)
Lumpini Place UD - Posri (LP - UP)
Lumpini Place Ratchayothin (LP - RYT)
Lumpini Park Riverside - RAMA 3 (LPark - RS RM3)
THE POLITAN RIVE (Sanam Bin Nam)
In 2021 blood collected from all donation units is
1,751,000 C.C. which increases 24% when compare to the same period in 2020
24 %
2) Lumpini Blood Donation to Fight with COVID-19 Crisis
The situation of COVID-19 pandemic effects blood donation at every donation center. Pre-scheduled blood donation program is affected because of the premise entry monitoring to prevent the spread of the disease. Travel limit, restriction on activities and people’s anxiety about leaving home have caused the continuous decline in the amount of blood donation. As a result, the blood supply is inadequate all over the country.
The Company, together with the National Blood Center, Thai Red Cross Society, organize special mobile units to collect donated blood at “Lumpini” condominiums and projects that managed by LPP. Eight projects participate in the event as follows.
Lumpini Condo Town Romklao - Suvarnabhumi (LC - RS)
Lumpini Ville Lasalle - Barring (LV - LB)
Lumpini Ville Ratburana - Riverview (LV - RR2)
Lumpini Ville On Nut - Phatthanakan (LV - OP)
Lumpini Mixx Thepharak - Srinakarin (LX - TS)
Lumpini Ville Phatthanakan - New Phetchaburi (LV - PNP)
IDEO O2
The Metropolis Samrong
Figure : Amount of blood donated (c.c.) in each quarter of 2021, comparing to targets
In addition, every year on World Blood Donor Day the Company donates
150,000 baht to support the production of promotional t-shirts which are given as souvenirs for blood donors.
In term of environmental and social responsibility As Process, LPN has established a special Corporate for Environment and Social Responsibility (CESR-As Process), namely LPC Social Enterprise Co., Ltd. It is formally certified by Ministry of Social Development and Human Security. The objective is to help enhancing the quality of life of underprivileged women following a social enterprise concept.
Apart from the operation as a social enterprise, L.P.N. Academy is also founded particularly for staff competency development. It has an onging performance in the previous year.
The real estate development business of LPN involves various types of services especially cleaning services. Most of the employees in this company group are women with low income, families to feed, and education lower than elementary level. Thus, importance is given to this group of stakeholders. The Company established Lumpini Property Service and Care Co., Ltd. to take care of this group of employees. It has been transformed to LPC Social Enterprise Co., Ltd. in order to provide an opportunity for underprivileged women in a sustainable manner.
LPC Social Enterprise Co., Ltd. has been established in 2011 as a social enterprise. It is an organization designed to help enhancing the quality of life of underprivileged women. It provides an opportunity for the ‘underprivileged women’ to work and support themselves with dignity.
The Company has defined ‘Underprivileged Women’ as follows:
1. Having low level of education (illiterate or elementary level).
2. Being a single mother.
3. Being exploited by former employers.
4. Being an elderly person (retired).
5. Being a person with disability (holding a disability card).
Since its establishment, LPC’s goal is to generate a good quality of life for this group of women so that they can earn an appropriate income and be self-reliant. LPC provides them educational opportunities, offers a wage that is 10% higher than the minimum wage and gives them vocational trainings so that they can earn extra money from part-time jobs. Furthermore, LPC acts like a mediator in solving informal debt issues between staff and loan sharks. The Company also provides interest-free loans and promotes saving disciplines to this group of staff. Therefore, their financial status can be strong enough to live on.
In 2021 a total of 1,587 community service officers or 66% of them meets the criteria of being underprivileged women as set by the Company. Eight hundred and thirty persons or 34% of them do not fulfill the criterions of being underprivileged. With regards to staff with disability and senior staff, they are allocated community service duties and social assistance as appropriate.
Furthermore, the Company continuously organizes activities to enhance knowledge and efficiency at work. The enhancement is done in 5 areas as follows:
The improvement of knowledge and skills is an importance foundation that helps improve quality of life of community service officers. The Company thus supports community service officers with education as well as sponsors scholarships for their children. The details are as follows:
Non-Formal Education Project (NFE) which is categorized into:
• Literacy project (preschool): 3 persons (Postponed due to the outbreak of COVID-19)
• Primary School: 4 persons
• Secondary School: 6 persons
• High School: 18 persons
• Vocational School: 16 persons
Supporting the education of staff’s children: In 2021 the Company grants scholarships of 4,000 baht each to 603 children of community service staff, valuing 2,412,000 baht in total. The eligible community service staff must have worked with the Company for one year or more. One community service staff is entitled to 2 scholarships at most.
As a result of the outbreak of COVID-19, the Company has postponed volunteer works since May 2021. Hence in 2021, the total of 741 voluntary activities are organized (decreasing 69% when compared to 2020). (Accumulative data from January to December 2021)
Distributing 250 relief packages to community service staff once during the COVID-19 surveiliance period.
Distributing 2,500 sets of face masks, face shields, alcohol gels, medical gloves, raincoats and Fah Talai Jone.
Giving 1st and 2nd dose of the COVID-19 vaccine to community service staff.
Distributing 5,000 COVID-19 prevention campaign T-shirts to families of community service staff. Each one receives 2 T-shirts.
The Company encourages and appreciates community service staff who do good deeds in the community by collecting and returning lost property to the owners and providing assistance to the residents of Lumpini community. The total of 68 good deeds are done by community service staff, decreasing 70% when compared to 2020. (Accumulative data from January to December 2021). Promotion of Good Deeds
Details are as follows:
“I Love Saving” project encourages staff to save money. Participated staff opens bank accounts and deposits 100 THB or more, deducting from their salary, into their bank accounts each month. After 12 months of savings, the Company will contribute 600 THB and deposit it to the staff’s bank accounts once every year. (The first contribution is paid in July 2020.) In 2021 there are 199 staff participating in the project. The contribution from the Company is 87,600 THB.
The “Same Rice Pot” project reduces living expenses of the community service staff and builds a good relationship among community service staff working in each project. The Company gives 4,804 bags of uncooked rice to community service staff.
In “Rice at Cost Price” project, rice is sold at cost price to community service staff. The Company will promote this project in advance. Interested staff can pre-order online. The total order is 1,079 bags of rice, decreasing 30% from 2020.
“LPC Co-pay” project is established in cooperation with Yingcharoen Fresh Mart Co., Ltd. Each community service staff can order goods worth 600 baht and the Company pays 300 baht for them. After the order is made, goods will be delivered to the project location.
The production of Effective Microorganisms for cleaning purpose within projects decreased 1.5% when compared to 2020. (Accumulative data from January to December 2021).
LPC’s not-for-profit operations have been focused on helping societies for many years. Thus, LPC has created Social Enterprise Standard Checklists (22 lists) to increase the efficiency of the operations. Social Enterprise Standard Checklists are divided into 2 categories as follows:
Category 1: Qualifications of “Social Enterprise” which consist of 5 sub-categories as follows:
1) Social objectives identification (3 items)
2) Major income (1 item)
3) Fair employment system and policy (4 items)
4) Social-friendly operational process (3 items)
5) Profit management (3 items)
Category 2: Responsibility for the impact on the stakeholders of the social enterprise which consists of 1 subcategory, namely the quality of life of community service staff (8 items)
In 2021, LPC completes 21 checklist items (out of 22 items) on Social Enterprise Standard Checklists. One item has not been done since it is during the process of updating online and offline courses. The training is postponed to the first quarter of 2022.
Due to ongoing crisis of the Coronavirus Disease (Covid-19) pandemic in 2021, on-site trainings or regular trainings done by LPN Academy cannot be organized. In addition, there is a Work From Home policy to reduce risks and for the sake of its employees’ safety. However, since the Company places an importance on human resource development policy and would like to continuously develop its staff to achieve People Excellence, the Academy adjusts its personnel development policy by shifting to online training format and self-learning format via ZOOM or Microsoft Team during the whole year so that the personnel development is not interrupted and the quality of personnel in each department is continuously improved.
In 2021 the goal is to create a self-learning atmosphere so that the staff can have several learning channels and styles, especially online training, together with competency-based development. This is to encourage them to develop themselves in terms of knowledge, skills, attributes or attitude to be of the standard expected by the organization. The personnel competency assessment is done, as in previous years, to measure individual behaviors that reflect each competency. The objective is to prepare Individual Development Plan (IDP). Supervisors can also use it as a tool to develop their team. Competency-based development comprises three following aspects:
Core Competency CLASSIC (7 topics)
Functional Competency
Leadership (7 topics)
Core Competency Development (C-L-A-S-S-I-C)
refers to the development of knowledge, skills and qualifications that everyone in the organization should have. Such knowledge, skills and qualifications are regularly reviewed and staff are encouraged to apply what they learn to their everyday work. The assessment has also continuously been done to build the traits that will support the organization to achieve its goal, mission and vision.
refers to the development of management knowledge, skills and qualifications that are necessary for staff at executive and managerial level who are responsible for work management and team management. 1
refers to the development of knowledge, skills and qualifications that staff in each department should have so that they can perform their duties and responsibilities in their line of work to achieve the target.
In addition to the three aspects of Competency-Based Development mentioned above, LPN Academy sets annual targets of 56 training hours per staff. The result in 2021 showed that staff had undergone averagely 58.29 training hours per person, which is higher than targeted. The total number of staff being trained in 2021 was 1,862 persons: 931 male staff and 931 female staff.
LPN Academy sets annual targets of
The result in 2021 showed that staff had undergone averagely 58.29 training hours per person 56 training hours per person
The total number of staff being trained in 2021 was 1,862 persons
LPN Academy designs training courses that are suitable to staff positions and practical for actual use. The Academy offers training for LPN staff, staff of subsidiaries and staff members of the LPN Team. LPN staff training courses can be categorized into four types as follows:
4 External Training Course Core Course Managerial Course Funcional Course
This informative training is organized for the staff to understand and follow the Company’s core corporate principle such as LPN Way, Code of Conduct, LPN Services Culture, LPN Business Practice Platform (3-6-8-10) and social responsibility, etc.
The course focuses on the development of knowledge, skills, management and coaching such as Team Leaders Excellence, Staff Service Evaluation System, English for Communication, Team Leader Excellence, etc.
Core Course Functional Course Managerial Course
This training aims to develop skills, knowledge and operating skills. The weakness and strength in the previous year’s operational performance, along with the important knowledge and skills in the professional practice, are analyzed. The training course is designed for each type of work i.e. Sale-Transfer Business, Project Management, Community Management, Maintenance Work, Brokerage Business, and Support Function.
The Company sends staff and staff of subsidiaries to attend external training courses to gain additional knowledge. The staff can adapt it to LPN Way for further development of their works.
The shift in training and instructional style during the previous period does not only make learning more convenient and practical during the pandemic situation, it also gives other benefits to the Company and its employees including reducing the spread of the disease, minimizing the instructional process and focusing more on quality, saving time, reducing travel arrangement costs and having a better understanding of communication development technology. As a result, the instructional adjustment assessment result reflects positive feedback. This is in line with the Company’s overall policy concept, Make it Simple, which focuses on self-contemplation, resource consumption reduction, process minimization and time saving while maintaining work quality and personnel quality. From the satisfaction survey of the training organizers, trainers and trainees, more than 80 percent of respondents are satisfied with the adjusted online training format.
Training and Workshop for LPN Staff
Details of 16 managerial courses are as follows:
Table : Details of Managerial Courses
More than 80 percent of respondents are satisfied with the adjusted online training format.
There are 24 functional courses categorized according to work departments. Details are as follows:
English for Communication (for sales department)
SM Development
Digital content
Workflow - General Request Form (for Sales)
Easy Communication Management Law
English for Communication (for P&M, ES)
CM New Staff
Verification of Measuring Instrument for Engineering in 2021 Thai Electrical Code (some issues) according to EIT
100-day Planning and Dashboard Follow-Up
FM Work: TOR Auction/Guidelines and Techniques
3. Skill Development Courses for Staff (External Training Courses)
Staff is sent to attend 14 external training courses, grouped according to subsidiary companies of the L.P.N. Development Group. Details are as follows:
Table: Details of Skill Development Courses for Staff (External training courses)
Receiving Visitors
In addition to training workshops for staff of the Company, subsidiaries and LPN team, the Academy also accommodates the judging panel of “The PropertyGuru Thailand Property Awards 2021”, an honorable contest that LPN takes pride in being selected for the competition. It reflects the efforts of LPN and its subsidiaries to develop internationally recognized properties, ensuring sustainability in its business operations.
Table: Receiving Visitors from External Organizations and Sharing Knowledge Externally
Accommodating the judging panel of “The PropertyGuru Thailand Property Awards 2021” to collect information for final decision online via Zoom
The judging panel of “The PropertyGuru Thailand Property Awards 2021”
The outbreak of coronavirus disease or COVID-19 has made it difficult to organize any seminar or event. However, LPN is able to share knowledge and experience of the Company with external organizations after the government has eased the lockdown policy. This time, Mr. Tamrongpon Daengbubpa, the Assistant Managing Director, and Mr. Prapansak Rakchaiwan, the Managing Director, of Lumpini Wisdom and Solution Co., Ltd. have honored to share knowledge on business operation and adaptation in times of crisis with external people.
Table: External Knowledge and Experience Sharing by Executives
1 3
Facility management & Property Management: sharing with graduate students in Master of Architecture Program and part-time students in Master of Science program, Chulalongkorn University
Business Ethics: sharing with students from DDI (Department of Design and Digital Innovation), Assumption University
Mr. Tamrongpon Daengbubpa
Mr. Prapansak Rakchaiwan
In 2021, the Company supports the budget of 6,384,252 THB for development, training and seminar events through L.P.N. Academy. The details are as follows:
• Internal training costs 5,241,832 THB
• External training costs 977,023 THB
• Other costs 165,397 THB
The average training cost per person is 3,575 THB. 165,397 THB Internal training costs 5,241,832 THB External training costs 977,023 THB Other costs
L.P.N. Development PCL has always given importance to the innovation development and promotes an atmosphere to foster innovation in all operational processes. “Lateral thinking” is identified as one of the core competencies of the organization that will motivate new innovative creations of products and services of the organization. The innovative operation of the Company can be categorized into three levels as follows:
is the innovation that supports the vision and strategy of the organization e.g. Digital Transformation, Livable Community for All, New Normal Lifestyle.
The Company has applied Digital Transform to facilitate work-from-home and remote-working measures for employees so that the work is more agile. It also increases efficiency of the expense and cost management and improves the internal organization management to suit today’s growing digital era.
is the innovation that adds value to the product e.g. LPN Green Project design, the development of condominium units that promotes well-being of residents or ventilation system design for condominium units that keeps residents safe from pollution and airborne pathogens.
In order for the Company’s products and services to meet customers’ needs as much as possible, the Company uses the Design Thinking process in combination with data from Big Data databases and customer feedback to develop products and services that can meet their needs, create a good customer experience, and accurately improve the issues that cause customer dissatisfaction.
is the development of the operational process or service that increases efficiency and trains the team how to deliver Service Excellence in order to meet customers’ needs and continually enhance the work level.
The Company has focused on developing work processes to complement the diverse lifestyles of its residents. It uses the developed Service Excellence platform as a working medium in Make it Simple, Quality Built-In and Knowledge Management projects that have been continuously initiated.
To facilitate visitors to the project, the Company has developed an online sales office system where interested parties can visit every project that is for sale without having to travel to the actual site. They can see details of the project in a 360-degree virtual environment via their own devices’ screens. They can also easily book the desired condominium units or houses via the Online Booking menu and make payments in the same system.
Due to the impact of the COVID-19 pandemic over the past two years, the Company is aware of possible risks during the inspection of condominium units or homes. Therefore, a new inspection process has been developed in accordance with the Social Distancing and Universal Prevention measures. Customers can inspect homes or condominium units, report what needs to be repaired and monitor the repairment online by themselves with a single QR Code scan.
Company Name : L.P.N. Development Public Co., Ltd.
Type of Business : Listed company in the Stock Exchange of Thailand
Stock Symbol : LPN
Registration Date : 21 June 1989
Registered Capital : 1,475,698,768 THB
Registration Number : 0107537002303
Country of Operation : Thailand
Head Office : 1168/109, 36th Floor, Lumpini Tower, Rama 4 Road, Tungmahamek sub-district, Sathorn, Bangkok 10120
Contact Number : Tel. 02-689-6888
Website : www.lpn.co.th
L.P.N. Development Public Co., Ltd. (LPN)
Develop residential condominium.
Pornsanti Co., Ltd. (PST)
Develop real estate projects other than residential condominium.
Lumpini Property Management Co., Ltd. (LPP) Provide comprehensive community management service.
Lumpini Project Management Service Co., Ltd. (LPS)
Provide comprehensive real estate development service.
LPC Social Enterprise Co., Ltd. (LPC) Provide community services.
Lumpini Wisdom and Solution Co., Ltd. (LWS) Provide product and service research and development services in real estate business.
LSS Solution Security Guard Co., Ltd. (LSS) A business providing comprehensive security services.
The Company and subsidiary companies conduct businesses in two business groups i.e. real estate development business and real estate related service rendering business. The details are as follows:
L.P.N. Development Public Company Limited operates real estate development business with an aim to sell residential projects targeting middle to lower-middle income earners (Focus Strategy). Since 2017, the target group of customers and the product development have been expanded to include lower-middle to upper income earners. The differentiation strategy in creating uniqueness in terms of products and services is applied. The condominiums units and common area of the projects developed by the Company are developed under “LPN Design” concept which is in accordance with the Principles of Universal Design. The common area is specially designed as a co-living space for the residents of all age groups. Moreover, after-sale service in the form of community management under “Livable Community for All” strategy has been developed. The strategy helps create the uniqueness of the Company and builds confidence among customers.
The Company has identified the position of each product for clarity and to cover the Company’s target group. The products of the Company are categorized by objectives into two groups, namely, the urban residential condominium and vacation condominium project and the residential home and townhouse project.
Apart from developing residential condominiums in Bangkok and peripheral area, since 2012 the Company has also developed projects in other provinces i.e. Chonburi, Udonthani, Phetchaburi and Pattaya. The brand positioning is as follows:
It is the premium brand developed for the special occasion of the 24th year of operation of the Company. The project is located on the highest potential location in Soi Sukhumvit 24 surrounded by convenient facilities. The Lumpini is perfect for luxurious, high class living reflecting the success of a superior life.
It is the high-end brand developed in response to residential needs of business owners or high-ranking executives who are in search of aesthetic life that is simple and yet luxurious. The location for the development of such projects, therefore, is in central business district near major transportation systems such as BTS and MRT stations and major expressways. The project is fully equipped with amenities. The number of units is minimal so the residents are able to enjoy the privacy.
It is the mid-to-high-end brand whose product value is developed to match the unique lifestyle of target groups in each project. The first project development is located opposite to Kasetsart University. Therefore, the project is developed as a campus condominium. The design of common areas is perfect for studying i.e. spaces for group working, quiet reading corners and areas for brainstorming, exercising, and outdoor activities.
4) “Lumpini
It is the mid-to-high-end brand developed for the working-age target group. The project location is in densely populated area and near main streets. It may be in or around central business districts and is conveniently located near modern transportation system. The project is fully equipped with technologies and amenities for everyday living. “Lumpini Place” is the model of City Condo along BTS and MRT route with the price of around one million THB developed by the Company since 2001. It was initiated under “LPN Design” concept which focuses on the functionality of space. City Condo projects are successful and positively received by the customers since it meets the needs of the working people in the city.
5) “Lumpini Park”
It is the mid-to-high-end brand developed for large-scale community. “Suan Ruam Jai,” a community park which is a green and shady area where family members and residents of the projects can do activities together, is initiated to add value to the product and service. It is in line with the concept of creating a “Livable community” in which residents live together in harmony under “Togetherness, Care and Share” culture. The first project is Lumpini Park Pinklao.
6) “Lumpini Ville”
It is a mid-end brand developed from “Lumpini Place” for professionals looking for their first private homes for the convenience in transportation and privacy. The project is located in densely populated area and near workplace and convenient facilities such as department stores, schools, etc. “Lumpini Ville” brand is thus an alternative for young people who want to live a life of their own while still maintaining a close bond with their family.
It is the mid-to-low-end brand focusing on building a residence for a great quality of life of those who just start their career and are freelancers. The locations of the projects will be in the fringe of urban-outer area which is densely populated. This is a large group of people who are in need of a residence. It is to be the first quality home and the starting point for those who are about to start their lives and build a happy family.
It is the large-scale, mid-to-low-end brand developed to create an opportunity of owning a home at an affordable price. The “Livable Township” strategy is initiated for middle-and lower-income groups. The first project with over 10,000 units is developed on a 100-rai plot of land is “Lumpini Township Rangsit-Klong 1. The project is fully equipped with convenient facilities such as various recreational areas for a large number of residents, a community mall and convenient stores to enhance the quality of life as well as great environment and society for the residents.
In addition to living in urban area, which is close to workplace and amenities, the Company has initiated the development of a vacation condominium as the second home. The pilot project is firstly developed in Pattaya and then Cha-am in Phetchaburi Province.
It is the mid-to-high-end brand developed from “Lumpini Park” which combines the atmosphere of Suan Ruam Jai with the liveliness of the seaside atmosphere. The first project developed is Lumpini ParkBeach Jomtien. All the condominium units are designed to have the ocean view. The price is also extremely affordable. Since the project is well-received, the Company has decided to develop another project of the same brand in Cha-am, Petchaburi Province in 2015.
It is the mid-end brand for professionals who would like to buy a vacation home by the beach. “Lumpini Seaview Jomtien,” is the first project developed in Pattaya, not far from “Lumpini ParkBeach Jomtien” which is the first resort condominium of the Company. It is designed as an affordable vacation home for the customers in the middle-income range who are the main target customers of the Company. The residents can enjoy panoramic view of the ocean. The project is managed under the “Livable Community” concept and provides services that cater to the lifestyle of people who want to stay at a resort style condominium.
In 2011, to build on the customer base, the Company has expanded the scope of project development to middle to lower-middle residential homes and townhouses through the operation of Pornsanti Co., Ltd. (PST) by adapting the strengths of the residential condominium development, including LPN Design, cost management for efficiency and after-sales service according to “Livable Community for All” strategy. In 2017 the Company expanded the development of projects to cover customers who want premium homes. The product position set by the Company is as follows:
It is a flagship project of premium single house and townhome of the Company. The location is meticulously selected. The first project is developed on Rama 3 Road as it is right in the city and yet private. It responds to the need of customers with high purchasing power who tend to expand their family and prefer a city home that can accommodate 3 generations under one roof.
It is the mid-to-high-end housing brand developed for professionals (35 years older). The Company has selected locations that can be accessed from several routes and are close to amenities making everyday life more perfect. It fits the new normal city lifestyle perfectly. The design of the common area and the body of the house are suitable for living. Materials are of good quality. It improves the quality of life and social quality.
It is the mid-end housing brands developed to meet the needs of residential condominium customers who want to expand the functional space. It is suitable for professionals 25-35 years of age who want to expand their family due to an increase in family members. The house is designed to meet their needs providing proper space allocation to all members at an affordable price. The interior is very functional with the living room, the kitchen, the bedrooms and the elderly room. The provided common areas such as gardens and clubhouses serve as gathering places for residents allowing them to perform social activities together under the “Togetherness, Care and Share” concept.
Pornsanti Co., Ltd. (PST) is not only a real estate developer of mid-end and mid-to-low-end non-condominium projects such as single houses and townhouses, but also responsible for the management of commercial property for rent i.e. commercial unit in residential condominium projects as well as shops in community malls. It supports the total solution service policy which aims to provide convenience in daily life of the residents. Apart from adding value to the projects, these properties for rent also create recurring income for the Company.
It is the policy of the Company to provide after-sale services to customers in all projects. Five subsidiary companies are established to provide various services related to property development as follows:
provides after-sale services to the customers as follows:
1) Community Management
It is responsible for community management that focuses on adding value of services delivered after the project is handed over to the customers via “Livable Community” strategy which is developed into “Livable Community for All” strategy. It is to uphold the reputation and value of the projects developed by the Company and residential communities. Professional community management team will manage the property, budget, quality of life, environment, safety and stakeholders such as residents, community management team and condominium juristic person committee under F-B-L-E-S+P strategy.
2) Management of Residential Condominiums, Offices and Commercial Buildings
It is responsible for management of common assets and common areas for the sake of building efficiency. Other services include providing management service for rental asset management system, setting up and operating condominium management system and managing office buildings, commercial buildings, superstores or other business buildings as required by clients. In addition to providing building management services and building supervision to ensure the suitability of the building for its uses, the company supervises the operational efficiency under a suitable and worthwhile environment starting from planning, controlling, evaluating, managing database and auditing by personnel and teams who have high experiences in all fields.
3) Brokerage Services
focuses on managing residential condominium units that the buyers (investors) wish to rent out or sell. The renters are also carefully selected to ensure the quality of life and safety of all the residents in the community.
4) Engineering Service
is responsible for providing comprehensive condominium engineering services according to customers’ needs. The operation includes supervision of the maintenance and repair of condominiums, such as electrical system, sanitation system, fire prevention system, air-conditioning system, building painting work, etc. Work plan and cost control plan are done by our expert and experienced personnel for the highest benefits such as repairing the interior of condominium units, designing and renovating wastewater treatment system and improving M&E system.
provides project management service to the Company and subsidiary companies. The company is supported by more than 20 companies in LPN Team. In 2017, the business base is expanded to include provision of service to external organizations. The emphasis is put on project management in order to deliver product values to customers as well as quality management, costs control and management, speed of completion, environmental responsibility and safety of construction workers and related parties under “Q-C-S-E-S+P” strategy.
is responsible for community service works. It provides cleaning services and comprehensive services to both internal projects developed by the Company and external projects. It was originally called Lumpini Property Service and Care Co., Ltd. Established with an aim to create jobs, incomes and dignity to underprivileged women, it has expanded the target groups to persons with disabilities and elderly people. In 2013 the company has been among the first group of companies that were certified as social enterprises by the Department of Social Development and Welfare, Ministry of Social Development and Human Security.
is responsible for providing product research and development services to the Company and affiliated companies. The company also provides consultation and research services on green operation, sustainable development and Building Information Modeling (BIM) to the Company and other domestic and international organizations outside LPN Group.
is responsible for security services by integrating people and system technology. It focuses on providing services to projects developed by the Company to support the comprehensive community service policy, supervise security performance and maintain the quality of “Livable Community” management. In addition, the company provides comprehensive security services to external projects as well.
The Company is able to identify major stakeholders who are involved in different operational processes. It is based on the assessment of the level of their involvement both in terms of their influence that affects the Company and its operation as well as the impacts from the operation of the Company. The level of importance is measured following the guidelines of the Stock Exchange of Thailand (SET), Thai Institute of Directors (IOD) and ASEAN Corporate Governance Scorecard. The treatment, method and frequency of communication and expectation of each group of stakeholder are established as follows:
• Respect basic shareholders’ rights in accordance with the law and Articles of Association.
• Treat all stakeholders equally.
• Have a mechanism in place that will ensure shareholders that they will receive accurate information and a sound profit and dividend according to the policy of the Company.
• Monitor connected transactions, determine measures to prevent conflict of interest and prevent the use of internal confidential information for personal benefit.
Business alliances are trade partners of the Company. It is the network of entrepreneurs such as architects, engineers, consultants, construction companies, construction materials manufacturers, transport companies and security services providers.
• Promote collaboration among “alliances” by developing LPN Team which is treated as a subsidiary company of the Company.
• Offer appropriate return, do not exploit trade partners or only take into account the profit of the Company, conduct business based on fairness.
• Set out clear purchasing policy. All trade partners must submit a cost proposal and the Company will select the one with fair and reasonable price and high-quality services based on the purchasing guideline of the Company.
• Treat staff with fairness in regard to career opportunity, remuneration and appointment or transfer, all of which should correspond to the performance of each staff and business success of the Company.
• Establish a short-term structure of remuneration of staff which is decided from the profit of the Company and the staff’s contribution to the success of the Company each year.
• Consider the overall remuneration of staff based on Key Performance Indicators (KPIs). The remuneration rate must be in accordance with the market rate. The knowledge, ability, experience and performance of each staff will be taken into account, as well as equality and fairness, inflation rate and Gross Domestic Product.
• Offer annual bonus based on the annual performance of the Company.
• Provide welfares e.g. health insurance, annual medical check-up, provident fund, financial loan, financial aid in case of death of staff’s parents or spouse and fitness area.
• Promote work-life balance of staff and regular workplace inspection. Provide safety equipment to staff and organize fire drills.
• Give importance to and be responsible for all customers on a regular basis. Enhance customers’ satisfaction and confidence, develop products, be liable for the quality and standard of products as promised, improve customer service quality and maintain customer confidentiality.
• Establish a Call Center and Customer Experience Management Department Tel. 02-689-6888 to receive complaints.
• Generate appropriate growth and profit.
• Take environmental and social responsibilities.
• Generate a balanced return for all stakeholders.
• Adhere to corporate governance principles.
• Manage risks.
• Act against corruption.
• Respect shareholders’ right.
• Implement 6 GREEN LPN policy to achieve sustainable development.
• Promote unity.
• Establish a joint business plan.
• Share knowledge.
• Generate a balanced return.
• Support organizational development process of trade partners.
• Build environmental and social awareness to mutually achieve growth and development.
• Annual Report and Sustainable Development Report
• Annual General Meeting of Shareholders
• Shareholders’ Newsletter
• Project visit
• Meeting with analysts
• Meeting with Investors and Fund Managers
• Project progress report
• Meeting with LPN Team (Executive Level)
• Meeting with LPN Team (Operational Level)
• Training and knowledge sharing
• Relationship building activities
• Promote work-life balance.
• Promote learning and career advancement.
• Promote “Livable Organization” concept and happiness at work.
• Build capacity and promote organization values.
• Provide appropriate remuneration and welfare.
• Promote equality and basic rights.
• Happiness at Work Survey
• LPN Academy
• Activities promoting participation
• Staff Relations Team
• Performance Evaluation
• Internet website and email
• Executive Knowledge Sharing
• Welfare Committee
• WhatsApp / Line OA
• Build affordable home with appropriate and fair price.
• Promote product and service value and brand’s credibility.
• Enhance customers’ satisfaction and manage complaints.
• Respect consumers’ rights.
• Call Center
• Various activities
• Satisfaction Survey
• Lumpini Family Day
• Touchpoint
• Customer Experience Management
• Market Research
• www.lpn.co.th
• Line OA
• Enhance the quality of life and build good relationship with residents through various activities on a regular basis.
LABORS
NEIGHBORS
• Enhance the quality of life of construction workers and provide necessities of life such as food and sanitation.
• Accommodation of construction workers in construction sites is inspected to ensure the cleanliness and tidiness of the site and provide assistance if needs be. Various activities are regularly organized, for example,
- Provision of free haircut and lunch to construction workers.
- Drug test.
- Monitoring the amount of waste at the site for proper waste management.
- First aid training and training on medicine use.
- Annual medical check-up and vaccination.
• Monitor the environmental quality in construction sites.
• Manage wastewater and waste in Lumpini communities.
ENVIRONMENT
• Establish a clear policy and guideline to build awareness of staff, trade partners and communities managed by the Company.
• Appoint a Corporate Environmental and Social Responsibility Committee to monitor the operation and ensure that it is in line with the policy. A Charter is to be established. Crucial operational processes are to be supervised by high-ranking executives.
• Apply the Triple Bottom Line (3P- Profit, Planet, People) approach in the operation, establish 3-6-8-10 guideline i.e. 6 GREEN LPN, 8 Stakeholders, 10 Processes and emphasize CESR In Process. The concept of 6 GREEN LPN includes the six areas of environmental and social responsibilities as follows:
1. Green Enterprise
2. Green Design Concept
3. Green Financial Management
4. Green Marketing Management
5. Green Construction Process
6. Green Community Management
• Regularly organize CESR Out Process activities.
• Promote product and service value.
• Enhance customers’ satisfaction and manage complaints.
• Respect consumers’ rights.
• Promote “care and share” culture.
• Promote participation in CESR activities.
• Promote learning among youth residents.
• Provide an opportunity for the residents to decide the guidelines for management of community.
• Annual General Meeting of Joint Owners
• Mobile App
• Call Center
• Various activities
• Satisfaction Survey
• Lumpini Family Day
• Chairman of Juristic Persons Seminar
• Touchpoint
• Customer Experience Management
• Market Research
• www.lpn.co.th
• Line OA
• Ensure safety at work.
• Enhance the quality of life and sanitation of construction workers.
• Offer standard remuneration rate and respect basic rights.
• Treat all workers equally.
• QCSES+P
• Activities promoting the quality of life of construction workers
• Medical check-up
• Minimize noise, dust and impacts from construction.
• Be open to suggestions.
• Comply with the Environmental Impact Assessment Report.
• Take sustainability of the neighboring area into consideration in project design.
• Minimize construction impacts.
• Campaign for waste segregation in communities managed by the Company.
• Promote energy conservation.
• Use resources efficiently.
• Promote sustainable project design.
• Raise CESR awareness in communities managed by the Company.
• Create jobs and enhance quality of life of underprivileged women.
• Share knowledge with other organizations via LPN Academy.
• Public Hearing
• Visiting, Meeting, Discussing
• Increase of Green Space
• Space Improvement
• Sustainable Project Design
• Suggestion Box
• 6 GREEN LPN
• LPN Green Signature Project
• QCSES+P
Sustainable Development Report 2021 is the sixth sustainable development report of L.P.N. Development Public Co., Ltd. The first one was published in 2014 to monitor and disclose the information on the positive and negative impacts of the operation of the organization on the economy, environment and society. It also aims to disseminate the concept of business operation of the Company which is based on sustainable development as well as the Philosophy of Sufficiency Economy i.e. moderation, reasonableness and self-immunity together with Knowledge and Morality as reflected in 6 Green LPN management concept.
The information included in the Report is compiled between 1 January and 31 December 2021. The preparation of the content of the Report, particularly the general information of the organization, management guideline and operational key performance indicators, is in conformity with the Global Reporting Initiative Standard (GRI Standard): Core Option which is different from the previous year report that used GRI - G4 version. The linkage between the business operation of the organization and the Global Sustainable Development Goals 2030 (SDG2030) is also presented in this Report.
The reporting framework and content is defined mainly upon the significance and benefit of the content. Material sustainability aspect is assessed along with sustainability context, stakeholder inclusiveness and completeness of the content in accordance with GRI Sustainability Reporting Guidelines.
A number of sustainability topics have been identified in the Sustainability Report 2021, all of which are relevant to real estate development and construction industry and substantively influence the expectation, assessment and decision of stakeholders on the organization’s responsible operation. Sustainability aspects will be assessed following the GRI Sustainability Reporting Guidelines.
Furthermore, the considered sustainability aspects are being reconsidered. Feedback from each stakeholders, operational guidelines and sustainability assessments by different agencies are taken into consideration together with other existing aspects so that the consideration for significant aspects in 2021 are more completed.
After defining the topics relevant to the operation on sustainability of the Company, the working group prioritized the topics based on the influence on stakeholders’ assessments and decisions as well as the significance of economic, environmental and social impacts in order to determine the “materiality” of the report.
The working group proposed the sustainability topics to the Chairman of the Board of Directors, the highest-ranking executive of the organization, for endorsement so as to ensure that such topics are inclusive of possible impacts of the Company’s operation and are of importance to each group of stakeholders. The topics will be used as a guideline for the planning of sustainable operation and preparation of the Sustainability Report. The materiality of the report is identified and shown in the diagram on prioritizing materiality aspects in accordance with the analysis of the Company Materiality Aspects in page 118.
The Company made use of the feedback of the stakeholders on the Sustainability Report 2020 to develop the Sustainability Report 2021. The contents are reviewed whether they are relevant to the sustainability topic of the organization so that the operation of the Company achieves sustainable development goals that are most relevant and significant to the organization. In addition, the feedback is used to determine the direction of socially responsible operation of the organization in the next phase. In 2021, stakeholders are able to send their feedback and suggestions on sustainable and responsible operation through a number of channels provided by the Company as well as the attached questionnaire.
Dissemination Channels
• Website: http://www.lpn.co.th: “Sustainability Report” in “Good Corporate Governance” under “Investor Relations”
• 50 printed copies (Thai version) and 20 printed copies (English version)
Contact Person for the Preparation of Sustainability Report and Sustainable Operation
Ms. Monnaphat Suphakitchanusan Brand Development Department, Brand Management Division
L.P.N. Development Public Co., Ltd. 1168/109 Lumpini Tower, 36th Floor, Rama 4 Road, Thung Maha Mek, Sathorn, Bangkok 10120
Tel : 02-285-5011-6
Email : bnd@lpn.co.th
Fax : 02-285-5017
Note : Percentage of
Number of female employees
Number of employees that are entitled to maternity leave
Number of employees that took maternity leave by gender
Number of employees that returned to work in the reporting period after maternity leave ended
Number of employees that returned to work after maternity leave ended that were still employed 1 year after their return to work
Note : 1 Return-to-work Rate = (Number of employees that returned to work after the maternity leave ended/Number of employees that took maternity leave by gender) x100
2 Retention Rate = (Number of employees that returned to work after maternity leave ended that were still employed 1 year after their return to work/Number of employees that returned to work in the reporting period after maternity leave ended) x 100
Note : *Since the number of staff of Pornsanti Co., Ltd. is less than the minimum number required by the Labor Protection Act, the company does not have any representative in the Welfare Committee. The term of service of the committee members is 2 years from 28 November 2020 to 27 November 2022.
