MESSAGE FROM
Chairman and Chief Executive Officer
On behalf of the Board of Directors of Siamrajathanee Public Company Limited, we would like to inform shareholders that the Company has operated the business in accordance with all objectives in the year 2023, including operating performance, business growth, good corporate governance, risk management and sustainable development.
In the year 2023, the Company’s revenues were Baht 2,346.40 million, an increase from the year 2022 with revenues of Baht 2,239.17 million or an increase of 5%. There was a net profit of Baht 183.5 million, an increase from the year 2022 of 9%.
There was a total of six board of directors’ meetings to consider adjustments of the organizational structure to create clear and more efficient management. The management structure is divided into two main parts, outsourcing and technology. The adjustments include improving the Company’s approval authority to be consistent and continuous development of executives according to succession plan. Since the Company operates personnel recruitment business, we must possess knowledge and always keep up to date with development and changes in personnel management at the international level. The Company has organized training to provide knowledge to directors and executives on “New era of HR management (People Transformation).” This presents many additional challenges for today’s business executives.
The year 2023 was a year in which the world faces new challenges, including global conflicts, climate change, and the coming of new technology. Population structure and the mismatch between labor skills and market demand results in business operators being required to adapt and continuously develop to maintain competitiveness, especially organizational restructuring and the use of technology to replace some processes based on the Company’s internal information. Many clients are shifting from outsourcing their services to finding partners to co-design their processes. Outsourcing is used as an internal department that reduces the organization’s burden on manpower and risk management.
Our Chief Executive Officer had attended the World Economic Forum and summarized the future direction related to the Company’s business. The future will be about AI technology, organizational management towards sustainability, and increasing use of outsourcing services. It is estimated that in the next 2 years, 1 out of 3 jobs in the world will be lost due to AI replacement, which means loss of approximately 85 million jobs. This will result in a high level of unemployment, lack of income, social problems, and many other economic problems.
The Company must, therefore, change or transform to upgrade itself in every dimension to leverage capabilities of its existing personnel combined with new world-class technology. The Company will use LEAN management process to create a Tech – Enabled Outsourcing Solution to develop the business to have integrated efficiency. Customers will receive full value of outsourcing services without the need to bear all risks with the concept of ‘UNLOCK POSSIBILITIES, SO HERE WE ARE’ and entrusting that the Company is a true strategic partner to the customers.
In addition, the Company is looking for ways to penetrate new markets to create a New S-Curve in the Thai industrial sector, particularly the EEC group and foreign businesses that will play a role in the country’s economy. The Company is seeking for new services in the security service industry, including security guards and cyber security. IoT technology and Automation AI will be used to replace manpower or the labor market that tends to decline to strengthen the Company in expanding its business. The Company anticipates growing our business with double-digit growth in the year 2024.
In respect of internal control and risk management, the Board of Directors has approved revision to the risk management policy. There must be more intensive monitoring of work plans and operations to ensure that risk management is adequate and appropriate for the Company, especially investments for which matters will be considered and opinion will be provided by the Risk Management Committee and the Audit Committee respectively before being presented to the Board of Directors. In respect of good corporate governance, the Company has fully implemented the policy. There were no cases of corruption, illegality, or any complaints.
The year 2023 was also the first year that the Company was assessed with excellent CG scoring for the Corporate Governance Survey of Thai Listed Companies (CGR) organized by the IOD.
The Board of Directors has approved a sustainable development policy whereby sustainability factors or ESG will be integrated into the Company’s strategic plan and business plan. The Company has also made a progress in such area, including assigning senior executives to be responsible for all work, improving capabilities of the Company and its personnel, and participating in the Sustainable Development Program of the Stock Exchange of Thailand etc.
The improvement of the Company’s capabilities is an important goal for the organization’s sustainability. This is where all parties benefit, starting with customers receiving higher value from outsourcing services, use of technology, and designing appropriate processes to help reduce losses in the organization or an opportunity for outsourced employees to earn higher income from delivering more valuable work to customers. The approach for improving the company’s Capabilities in the year 2023 is to repurpose the organization by changing from delivering services to delivering value in 4 areas, namely :
- Focus on Core Function: Customers will spend time doing important tasks and outsourcing less important tasks such as building management, labor management and salary payment, paperwork, maintaining green space, industrial waste management, and IT work.
- Ability to Scale up and down: Customers will have the flexibility to hire based on demand at any point in time. There will be no need to be responsible for expenses during periods of absence.
- Transfer Risk to Outsource: Outsourced service provider will be responsible for the work, including any fine and risks similar to purchasing insurance.
- Access to Innovation: Customers will focus on developing innovations for their main tasks, while outsourced service provider will take supporting roles.
By preparing the Company’s readiness in every aspect and giving importance to modern technology, the Company will grow and progress according to its vision and certainly create benefits for shareholders and all groups of stakeholders. The Board of Directors wishes to express gratitude to shareholders, employees, customers, trade partners, media, and business partners and all those involved. We will conduct our business to the best of our abilities based on good corporate governance and sustainable development.